A significant step has been taken in advancing energy resources off Egypt’s coast. BG Delta Limited, operating as a subsidiary of Shell plc, along with its partners, has confirmed a Final Investment Decision (FID) on the Phase 12a development project. This deepwater gas development project is situated within Egypt’s West Delta Deep Marine (WDDM) concession in the Mediterranean Sea, representing continued exploration and production activities in the region’s established offshore fields.
The WDDM Phase 12a development initiative brings together multiple stakeholders in the energy sector. The Egyptian Natural Gas Holding Company, the Egyptian General Petroleum Corporation, and Malaysia’s state-owned energy enterprise are collaborating on this venture. The project structure calls for the development of three deepwater subsea wells, with production expected to commence in 2028.
Strategic Integration of Existing Infrastructure
Shell said that by utilizing established deepwater gas development infrastructure, the WDDM Phase 12a development project timeline can be compressed, capital requirements can be optimized, and the necessity for additional facilities is reduced.
“This investment demonstrates our commitment to maximizing the remaining potential in WDDM where the right technical and commercial conditions exist,” said Dalia Elgabry, Vice President and Country Chair of Shell Egypt.
The WDDM Phase 12a will follow the development approach adopted for WDDM Phases 10 and 11, with the new wells connected to the existing subsea infrastructure operated by the Burullus Gas Company joint venture.
Supporting Egypt’s Energy Security Goals
The WDDM Phase 12a development initiative addresses broader energy objectives within Egypt. The country continues efforts to sustain and strengthen domestic natural gas production capacity. Furthermore, the project will help secure fuel supply for power generation and industrial demand.
Shell’s operations in Egypt are primarily centered on offshore natural gas production, particularly in the Mediterranean. The company holds interests in the WDDM, Rosetta, and Northeast El Amriya concessions, as well as a stake in Egyptian Liquefied Natural Gas Company (ELNG), which operates the Idku LNG plant.
