Egypt, China to jointly build 3 oil rigs by 2007
11:21 AM ET Oct 22, 2006
CAIRO (Zawya Dow Jones) -- Egypt signed three agreements with China involving cooperation in the oil and gas sectors, largely through building oil rigs, Al-Hayat newspaper reported Sunday.
The pan-Arab daily said Egyptian Minister of Petroleum Sameh Fahmy signed an agreement creating a joint Egyptian-Chinese company with China Petroleum & Chemical Corp., or Sinopec, specializing in building oil rigs.
The company, named Sino-Tharwa, is set to deliver three rigs by 2007, another seven by 2008 and aims at raising production to 20 rigs by 2010.
The rigs will help boost exploration activities in Egypt, in light of an increased demand for rigs and the rising cost of hiring rigs, Fahmy was quoted as saying.
A second agreement signed during Fahmy's recent visit to China was with China's Sinoc to cooperate in international tenders that Egypt announces for exploration and discovery.
The third agreement was signed with Sinopec to increase the firm's activities in Egypt and raise the number of its oil rigs from two to seven in two years' time.
-By Maha El Dahan, Dow Jones Newswires, +20122267850, mahaeldahan@yahoo.com
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