Al Baraka Bank Egypt Participates in a Banking Consortium of Four Banks to Arrange $75 Million Syndicated Financing for Cheiron Egypt Delta Limited

Cairo, February 2025

A banking consortium led by Banque du Caire, in collaboration with Al Baraka Bank Egypt, the Arab International Bank (AIB), and SAIB Bank successfully arranged and covered a syndicated financing equivalent to $75 million for Cheiron Egypt Delta Limited. The company, which specializes in oil and gas extraction, is part of the Cheiron Group, and the Syndicated facility aims to partially finance the investment costs of the West Burullus gas field development project in the Mediterranean Sea.

The facility covers up to 45.5% of the total investment cost of $165 million for the project, for which Cheiron Egypt Delta Limited holds the concession rights granted by the Egyptian government.

Mr. Hazem Hegazy, CEO and Vice Chairman of Al Baraka Bank Egypt, emphasized that the bank’s participation as a mandated lead arranger in this syndicated facility aligns with its vision to invest in projects with significant economic impact. He noted that the energy sector is not only a key driver of economic growth but also a strategic pillar for ensuring Egypt’s long-term economic stability and global competitiveness. He added that Al Baraka Bank Egypt contributed $20 million to the syndicated facility to support the West Burullus gas field development, a project that represents a significant step toward achieving energy self-sufficiency. He further highlighted that this partnership reflects the bank’s commitment to channeling resources toward sustainable solutions that address Egypt’s growing economic needs while fostering stronger integration between the banking and energy sectors.

Mr. Alan Linn, CEO of Cheiron, underscored the importance of the facility in providing the liquidity required to advance the project. He described it as a crucial step toward increasing natural gas production in Egypt and developing the West Burullus gas field. The facility will enable the commencement of gas production from the field, meeting the growing domestic demand for natural gas while reducing reliance on imports. He explained that the West Burullus gas field development involves several phases, from exploration and drilling to production and export. The project will also include drilling new wells, building production platforms, and laying pipelines to transport gas to processing plants.

This syndicated facility, dedicated to investments in the oil and gas sector, reflects the participating banks’ strong commitment to supporting the national economy and creating new job opportunities. Cheiron Group is the third-largest oil and gas producer in Egypt, holding more than 25 producing concessions with a daily output exceeding 130,000 barrels. Additionally, the group owns producing concessions outside Egypt, reinforcing its position as a key player in the industry