CAIRO, April 23 (UPI) -- Emirati energy company Dana Gas and Italy's Eni announced they were among the successful bidders in an auction for deep-water exploration rights in Egypt.
Dana said it was awarded a concession in the North el Arish reserve area in about 3,200 feet of water offshore from the Nile Delta.
Dana General Manager for Egypt Patrick Allman-Ward said the concession could provide substantial results by next year.
"We are delighted with this award which confirms Dana Gas' belief in the remaining petroleum potential in Egypt and the company's long term commitment to the country," he said in a statement.
Egypt has struggled to revitalize its energy sector following the 2011 revolution. Russian energy company Gazprom recently offered to swap gas with Egypt so it could meet demands of European customers while keeping reserves in the domestic market.
Eni said it secured a deep-water concession offshore Egypt in the eastern waters of the Mediterranean Sea. It will serve as the operator in so-called Block 9 with 100 percent equity. The company gave no indication of expected reserves.
Eni said it's been active in Egypt since 1954 and is producing, on average, 234,000 barrels of oil equivalent per day.