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Eni to Invest $7.7 Bn in Egypt’s Energy Sector

An offshore gas platform of the Italian company Eni. (Getty Images)
An offshore gas platform of the Italian company Eni. (Getty Images)
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Eni to Invest $7.7 Bn in Egypt’s Energy Sector

An offshore gas platform of the Italian company Eni. (Getty Images)
An offshore gas platform of the Italian company Eni. (Getty Images)

Eni Energy Company President Claudio Descalzi said the Italian company and its partners intend to inject new investments into Egypt over the coming four years at a value of $7.7 billion.

The investment reflects the Italian energy company’s commitment to boosting its successful projects in Egypt.

Egypt’s President Abdel Fattah al-Sisi received Descalzi during a meeting attended by Minister of Petroleum and Mineral Resources Tarek El-Molla and senior Eni officials.

Descalzi underscored Egypt’s great importance as one of the significant markets for Eni’s activities and business worldwide, given the promising opportunities in its energy sector, noting the state and president’s interest in upgrading this vital sector and maximizing its revenues.

Descalzi reviewed the company’s upcoming search and exploration plans and development operations activities. He also highlighted the progress achieved in energy efficiency and sustainability projects related to the energy transition, in line with the Memorandum of Understanding (MoU) signed in March 2023.

Presidency Spokesman Ahmad Fahmy said Sisi underscored the outstanding Egyptian-Italian relations and the longstanding partnership with Eni.

He praised the numerous activities the company has implemented in Egypt at the highest global standards.

He said he looks forward to further advancing the fruitful cooperation between Egypt and Eni in search, exploration, development, and production to leverage the national resources in the energy sector and enhance the vast successes.

Meanwhile, Prime Minister Mostafa Madbouly held a meeting to discuss procedures of the new incentive package for industrial investment ordered by Sisi.

The meeting was attended by Minister of Trade and Industry Ahmed Samir, Chairman of the General Authority for Industrial Development Mohamed Abdel Karim, and Executive Director of Industrial Modernization Center Doaa Salima.

The Minister of Trade explained that the new incentives to push industrial investment aim to achieve one or more goals that include deepening local manufacturing.

They are also devised to attract investments in production input industries, cover local needs for strategic goods, especially pharmaceuticals, shrink the trade balance deficit, reduce the demand for the dollar for import operations, expand exports, and increase employment rates.

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Egypt Kuwait Holding Set to Launch First Commercial Project in Saudi Arabia

Egypt Kuwait Holding CEO Jon Rokk.
Egypt Kuwait Holding CEO Jon Rokk.
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Egypt Kuwait Holding Set to Launch First Commercial Project in Saudi Arabia

Egypt Kuwait Holding CEO Jon Rokk.
Egypt Kuwait Holding CEO Jon Rokk.

Egypt Kuwait Holding (EKH) plans to announce its first investment in Saudi Arabia’s oil and gas sector within two to three months, after completing the bulk of the project’s capital expenditures, CEO Jon Rokk said.

In an exclusive interview with Asharq Al-Awsat, Rokk described the project as “promising" and said it had been “in the planning stages for a long time.”

EKH, one of the fastest-growing investment firms in the Middle East and North Africa, manages a diverse portfolio spanning five key sectors: fertilizers, petrochemicals, gas distribution, power generation and distribution, and non-banking financial services, including insurance.

As part of EKH's expansion strategy, it is close to officially announcing its first investment in Saudi Arabia—a promising oil and gas project that has been in the works for some time, Rokk said.

EKH is leveraging its extensive expertise and strong track record in Egypt, including the development, operation, and maintenance of the largest private gas distribution network in the Middle East, he added.

EKH eyes Saudi, European expansion

EKH is set to announce its first investment in Saudi Arabia’s oil and gas sector within the next few months, having already completed the bulk of its capital expenditures, Rokk told Asharq Al-Awsat.

EKH has been working on this project for a long time and it is now in the final stages, preparing to commence commercial operations soon, Rokk revealed. This will enable the company to generate revenue in the coming months.

While he did not disclose further details, he said that EKH is evaluating additional investment opportunities worth between $150 million and $200 million over 2025 and 2026 as part of its expansion strategy.

EKH reported a net profit of $185 million in 2024. According to the company, revenue climbed to $642 million last year, with gross profit and operating profit margins increasing by 40% and 39%, respectively. Net profit rose to $185 million, with net profit margins improving by two percentage points to 29%. Profit attributable to shareholders reached $163 million.

In its 2024 financial statement, EKH said it expects 2025 to bring further improvements in capital allocation and a sharper focus on high-value projects, underscoring the significance of its first Saudi investment.

Saudi investment and growth outlook

While Rokk described EKH’s Saudi project as relatively small compared to its overall portfolio, he stressed its strategic importance.

This is a key step for EKH’s entry into the Saudi market, where it sees significant growth potential, he said.

He also expected the project to unlock future opportunities. This investment could pave the way for securing additional concessions, strengthening EKH's presence in one of the region’s most critical energy markets.

Expanding into Europe

Beyond the Middle East, EKH is developing a new project in Northern Europe, which Rokk described as a major growth driver.

This strategic investment will give it early access to an emerging sector, enhancing its competitiveness and market presence from the outset, he said. EKH anticipates strong returns, supporting its growth and international expansion.

The company’s broader strategy includes increasing foreign currency exposure, tapping into high-growth markets, and diversifying its investment portfolio.

EKH is finalizing the project details and expect to provide further updates by the third quarter as it moves toward execution, Rokk added.

In 2025, EKH aims to expand further—both by entering Saudi Arabia and launching its European project—while continuing to grow its existing businesses.

Strengthening presence in Egypt

EKH is also reinforcing its foothold in Egypt, with plans to boost exports and foreign currency inflows in 2025.

It is exploring several options, including acquisitions and strategic partnerships, focusing on sectors with strong export potential and dollar-denominated returns, Rokk said.

The company aims to leverage Egypt’s competitive advantages—such as low production costs and strategic location—to increase exports and maximize foreign currency earnings.