* BP could raise stake to 15 pct by end 2017
* Deal deepens Eni-BP partnership in Egypt (Updates throughout)
By Agnieszka Flak and Karolin Schaps
MILAN/LONDON, Nov 25 (Reuters) - BP has agreed to buy10 percent of Eni's Shorouk concession offshore Egypt,which includes the giant Zohr gas field, for $375 million,joining other oil majors in increasing bets on the growing gasmarket.
The deal gives Eni much-needed cash as part of its 5 billioneuro divestment plan to continue investing and paying dividendsdespite weak oil prices.
The companies also agreed BP could purchase another 5percent of the field before the end of next year, when the Zohrfield is slated to start production, under the same terms andthat BP would reimburse Eni around $150 million in pastexpenditure.
Zohr, discovered by Eni last year, has an estimated 850billion cubic metres of gas in place. It will help plug Egypt'sacute energy shortage and save the country billions of dollarsin hard currency that would otherwise be spent on imports.
Once an energy exporter, Egypt has turned into a netimporter because of declining oil and gas output and increasingconsumption. It is trying to encourage quicker development ofrecent discoveries to fill its energy gap as soon as possible.
A run of big gas finds off the Egyptian coast have made thecountry a top destination for energy investment even as firmsseek to save cash to handle low oil prices better.
The deal deepens BP and Eni's partnership in Egypt, wherethey announced a significant gas discovery in the East NileDelta in June.
A stake in Zohr, one of the biggest ever gas discoveries,will raise BP's exposure to the gas market, just months afterrival Shell became one of the world's biggest gas traders byacquiring BG Group.
BP has earmarked Egypt as one of its key growth markets. Itwants to double production there in the coming four years andsell into the growing domestic market.
Eni, whose subsidiary IEOC owns 100 percent of the Shoroukconcession, is also in the process of selling stakes in its Area4 field in Mozambique to Exxon Mobil. (Editing by David Evans)