Business | Oil & Gas

Dana Gas signs deal to explore Sharjah field

Dana Gas yesterday said it had signed an agreement for the exploration and development of the Western Offshore concession in Sharjah.

  • Staff Report
  • Published: 00:48 March 13, 2008
  • Gulf News

Dubai: Dana Gas yesterday said it had signed an agreement for the exploration and development of the Western Offshore concession in Sharjah.

The deal marks Dana Gas' entry into the GCC exploration and production sector, and is also the first offshore upstream asset for the company in the Middle East.

The 25-year agreement was signed by His Highness Dr Shaikh Sultan Bin Mohammad Al Qasimi, Supreme Council Member and Ruler of Sharjah, and Hamid Jafar, executive chairman of Dana Gas. The concession covers an offshore area of over 1,000 square kilometres and includes the development of the Zora gas field within Sharjah, which was discovered in 1979.

The work includes resuming horizontal drilling of two wells originally drilled by Crescent Petroleum, completion of the drilling work, installation of offshore platforms for immediate processing and production and the transportation of the processed gas via 25km of offshore pipeline to be installed by Dana Gas.

The deal also provides for exploration within the concession area, including geological evaluation studies, followed by seismic surveys and the drilling of exploration wells.

"We are pleased to enter into this agreement with Dana Gas, as a local and regional company with proven capabilities in all areas of the region's natural gas industry," said Shaikh Ahmad Bin Sultan Al Qasimi, Deputy Ruler of Sharjah and Chairman of the Sharjah Petroleum Council.

The cost of the development phase is estimated at $55 million, and exploration is estimated to cost a further $65 million.

  • Rate this article
  • Average reader rating (0 votes) 0 Stars
Tools

Emailing an article to friend is a simple way to share a news item. Your friend will receive an email with your name and email address as well any personal message you choose to send.

The information you provide on this page will not be used to send unsolicited emails.

This service is not intended to encourage spam, and action may be taken against individuals who maliciously enter personal details of another individual.

Share this article

More from Oil & Gas

  1. Mideast crude down on Qatar, Murban supply

  2. Oill prices fall below $76

  3. Al Hamili heads UAE team to OAPEC meet

  4. Reliance offer for world's 3rd largest petrochem firm

All articles in Oil & Gas

More from Business

Gulf News
Popular in Business
Airlines in the region
Budget travel

Airlines in the region

Take a pictorial look at some of the budget airlines in GCC

Business Editor's choice