Egypt: Majors’ investment pledges seen as vote of confidence

The government is under pressure to increase the price paid to producers for domestic gas and to pay off the remaining arrears owed to international oil companies by Egyptian General Petroleum Corporation. Announcements of large new upstream investments by BP and Eni and potential investments by BG Group are therefore positive steps. “The government is making efforts to improve the business environment. It is clear that the foreign companies are willing to invest…The trust is there. The resources are also there.