A new deepwater drilling rig is to be built in a project to be carried out by the Egyptian Drilling Co. and funded by the Bank of Japan.

The move will see the Egyptian Natural Gas Holding Co., Ganoub El Wadi Petroleum Holding Co., Japan’s Toyota Tsusho and the Japan Drilling Co. co-operate in the construction of the $900 million rig, according to the Egyptian Ministry of Petroleum.

An EGAS report handed to Minister of Petroleum, Sherif Ismail, said the project would allow the Egyptian sector “to own its production tools”. The newbuild rig would secure the country’s development drilling and exploration programs, it added, and help in eventually contributing to the development of oil and gas reserves, and to conclude drilling and development programs at the scheduled times.