Nargis-2 Finds Net Gas Pay of Up to 35 Metres in Extension of Egypt Discovery
Key Facts
Egypt’s Ministry of Petroleum and Mineral Resources and Chevron announced positive results from drilling the Nargis-2 well in the Mediterranean in a joint statement dated October 24, 2026. The statement said the well confirmed the extension of gas-bearing layers previously identified at Nargis-1 and also found an additional gas-bearing layer. Evaluation results showed net gas pay of up to 35 metres, after the well’s final depth exceeded 5,000 metres. The result places Nargis-2 within the ongoing assessment of the existing Nargis discovery, with technical work continuing to determine its size and development potential. The statement did not disclose reserve volumes or a production start date.
The statement said the additional layer has high-quality reservoir characteristics, alongside the extension of previously discovered gas-bearing reservoirs. The ministry and Chevron said the results “confirm the extension of the gas-bearing reservoirs previously identified in the Nargis-1 well,” adding that the well had added a new layer to the area’s ongoing assessment. Evaluation results showed net gas pay of up to 35 metres, the key operational figure cited in the statement on Nargis-2. The well’s final depth exceeded 5,000 metres as it tested extensions of the discovery and deeper geological layers. The results allow the partners to continue assessing the reservoirs, while development prospects remain subject to ongoing technical studies.
The aim of drilling Nargis-2 was to assess extensions of the Nargis discovery and test deeper geological layers, including formations with high pressures and temperatures, according to the ministry. Drilling began in May 2026 through a partnership involving Chevron, its partners and the Egyptian Natural Gas Holding Company (EGAS). Chevron operates the Nargis area in partnership with Italy’s Eni, the UAE’s Mubadala Energy and Egypt’s Tharwa Petroleum. The partnership places the project within a framework of cooperation between international and Egyptian companies during the assessment work. The Nargis discovery dates back to 2022, while the results statement described it as a discovery that had not entered the development phase.
EGAS announced the Nargis-1 discovery on January 15, 2023, saying at the time that reserve estimates were still under assessment. It said the well is located about 60 kilometres north of the Sinai Peninsula and had found net reservoir thickness of about 61 metres within 140 metres of sandstone. Those figures provide context for the Nargis-2 result, which confirmed the extension of gas-bearing layers and found an additional layer, but do not by themselves settle reserve estimates or a development decision. In May 2026, the ministry said accelerating development of undeveloped gas discoveries was part of efforts to increase domestic production and reduce the import bill. Nargis remains among discoveries that have not entered the development phase, according to the October statement.
The ministry said the results support continued technical studies to determine the discovery’s overall potential and assess development prospects. The statement did not set a date for a development decision or the start of production, and did not disclose the volume of recoverable reserves. The next step, therefore, is to complete the technical assessment following the Nargis-2 results, including estimates of overall potential and development prospects. The ministry’s statement linked this work to its goals of developing undeveloped gas discoveries and increasing domestic production, goals it had previously cited when monitoring the start of drilling in May. The statement included no additional timetable for these studies or for any subsequent decision.