The Japan Bank for International Cooperation (JBIC) has signed a memorandum of understanding with Egyptian General Petroleum Corporation (EGPC), the state-owned oil corporation of Arab Republic of Egypt, and the Egyptian Natural Gas Holding Company (EGAS), a publicly-established gas company owned by EGPC.


Through signing the agreement, it is hoped that Japanese firms will work with EGPC or EGAS to develop various projects, backed by the support of JBIC’s various financing projects.


Egypt is pursuing a national policy to expand the production of its oil and gas supplies, by attracting the investment of overseas companies.


Some Japanese companies have already been investing in Egypt’s oil sector. In 2005, Teikoku Oil won its bid for an Egyptian exploration deal, securing a participating interest in two exploration blocks; the South October Block and the North Oarun Block. At the time the firm pledged to invest US$18.3mn in the projects.