QatarEnergy Acquires 27% Stake in Egypt’s Offshore Exploration Block

QatarEnergy announced the acquisition of a 27% participating interest in the North Cleopatra offshore exploration block, located in Egypt’s Herodotus Basin, through a farm-in agreement with Shell. 

The deal marks a strategic expansion of QatarEnergy’s presence in the eastern Mediterranean and reinforces growing energy ties between Qatar and Egypt.

Shell will continue to operate the North Cleopatra block and will retain a 36% stake, while Chevron also holds a 27% share. Egypt’s Tharwa Petroleum maintains a 10% interest in the block, which covers an area of more than 3,400 square kilometers in deep waters reaching depths of up to 2,600 meters.

Located off Egypt’s northern coast and adjacent to the North Dabaa block, where QatarEnergy already holds a 23% stake, North Cleopatra is part of the underexplored but promising Herodotus Basin. This region has attracted rising interest from global energy companies due to its proximity to major gas discoveries in the eastern Mediterranean, including Egypt’s giant Zohr field.

In a statement, Saad Sherida Al-Kaabi, Qatar’s Minister of State for Energy Affairs and President and CEO of QatarEnergy, described the acquisition as a key milestone in the company’s international upstream growth strategy and a further step in deepening energy cooperation with Egypt.

The deal comes at a time of increased regional collaboration, particularly between Gulf states and North African energy producers. It also follows QatarEnergy’s recent agreement with Samsung C&T to construct a large-scale solar power plant in the Dukhan area, signaling the company’s parallel focus on expanding its renewable energy portfolio alongside traditional oil and gas operations.

While no specific timeline has been announced for exploration drilling in the North Cleopatra block, industry officials suggest that Shell and its partners may begin seismic surveying and early-stage planning within the coming year. Exploratory drilling could begin by late 2026, pending regulatory approvals and environmental clearances.

The entry of QatarEnergy into the North Cleopatra block not only strengthens its position in the region but also supports Egypt’s ambition to become a leading gas hub for the Eastern Mediterranean. As European and global markets continue to seek diversified energy sources, partnerships such as this are expected to play a growing role in ensuring future supply stability and unlocking the untapped potential of Egypt’s offshore gas reserves.