Chevron has been granted exploration rights for oil and gas in the 'Lotus' area of the Mediterranean Sea, with plans to invest over $200 million to drill two exploratory wells. This move is part of Chevron's broader strategy to expand its operations in the East Mediterranean, which has become a significant area for oil and gas exploration following its acquisition of Noble Energy in 2020.

The agreement with the Egyptian government is expected to enhance Chevron's presence in the region, particularly near existing ExxonMobil blocks. The deal does not include the recently introduced R-Factor profit-sharing system, which could have impacted the financial dynamics of the project. This strategic investment aligns with Egypt's efforts to boost gas production to meet domestic demand and increase export capabilities.