Arab Finance: Norway-based oil and gas company DNO is exploring plans to enter the Egyptian market and invest in exploration and production in the Western Desert, according to a statement outlining talks with Minister of Petroleum and Mineral Resources Karim Badawi.

Badawi met with Chris Spencer, DNO’s Managing Director, and Sameh Hanna, its General Manager for the Middle East, on the sidelines of the Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC) 2026 in Abu Dhabi.

Discussions focused on DNO's planned entry into Egypt following its agreement to acquire Edinburgh-based energy producer Capricorn Energy, which holds interests in Western Desert concessions operated through Egypt-based petroleum producer Badr El Din Petroleum Company (Bapetco). 

On September 1, DNO reached an agreement on the terms of a recommended all-cash acquisition of Capricorn Energy, with the deal implying Capricorn's value at around $396 million.

Badawi welcomed DNO’s interest in making Egypt a core area of activity, as it reflects confidence in the country’s oil and gas investment opportunities, highlighting efforts to improve the investment climate and attract additional capital into exploration and production.

The discussions focused on how DNO’s operational and technological expertise could accelerate the drilling of new wells and workovers of existing ones. Badawi emphasized the use of advanced technology to improve operating efficiency and recovery rates, helping raise crude oil and condensate production from Capricorn’s Western Desert concessions while developing natural gas resources and increasing gas output.

Beyond those assets, the two sides explored opportunities for DNO to participate in Egypt’s new international exploration bid rounds, particularly for onshore areas near Capricorn’s existing holdings.

Such expansion could connect additional concessions with existing infrastructure, improve the use of available petroleum assets and resources, and create further opportunities to increase production.