Bahrain's Parliament to Debate Natural Gas Exploration Agreement
Bahrain's Parliament will debate Decree-Law No 33 of 2025, which approves a concession for natural gas exploration. This agreement, signed in August 2025, involves Bapco Energies and EOG Resources, and aims to develop local resources without financial strain on the public budget.
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Bahrain's Parliament is set to discuss a decree-law aimed at natural gas exploration in the Bahrain Field, covering the Juba and pre-Tawil reservoirs. The agreement, signed on August 6, 2025, allows EOG Resources to finance up to $100 million in exploration costs, including drilling four wells over six months.
The kingdom will maintain fiscal rights through royalties and taxation, securing a 10% royalty on net profits. The model ensures no public expenditure on exploration while allowing for technology transfer and local employment.
Initial drilling has begun, with production from converted wells already sold locally. MPs have noted that the concession enhances energy security and attracts investment.
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