Wadi Feiran is considered one of the main sources for groundwater in Southern Sinai, Egypt. The stratigraphic make-up of such wadi is complex with the presence of near surface inhomogeneties and alternations of resistive and conductive layers. This could produce undesirable results in subsurface imaging using DC resistivity method. Therefore, TEM as an alternative tool which is less affected by distortion from near surface anisotropy has been evaluated and assessed for lithological identification, aquifer characterization and direct removal of static shift in DC sounding curves in such wadi. Twenty three single loop TEM and two Schlumberger VES soundings have been carried out around seven boreholes in the area of study. The output results have shown the effectiveness of the proposed TEM method in handling of such wadies. However, it is recommended to use a contiguous transient electromagnetic profiling and 3D modeling for obtaining highly resolved mapping in such environments.