Sharjah: UAE natural gas company Dana Gas has announced two gas discoveries in Egypt's Nile Delta.
The first discovery was at Al Panseiya-1 in the West Al Manzala Concession, which encountered 11 metres of net pay (net thickness of an oil reservoir) in the Kafr Al Shaikh formation and produced 10 million standard cubic feet per day (mmscfpd) of dry gas.
The preliminary estimate of the recoverable reserves is from 8-13 billion cubic feet (bcf) of gas.
The second discovery, South Faraskour-1, also in the West Al Manzala Concession encountered 20 metres of net pay in the Abu Madi formation and 1.4 metres in the Kafr Al Shaikh formation.
The well tested 16.3 mmscfpd of gas with condensate. The preliminary estimate of the recoverable reserves is 27-57 bcf of gas with associated condensate. Both the Al Panseiya-1 and South Faraskour-1 discoveries are expected to be tied in to the company's nearby Al Wastani gas processing plant by the end of 2010.
Ahmad Al Arbeed, Dana Gas CEO, said, "Our team in Egypt continues to deliver tremendous results. We are delighted that these two exploration wells have been successful.
"They build upon Dana Gas Egypt's outstanding 2009 achievement of eight discoveries from 12 exploration wells, which resulted in a 40 per cent increase in proved plus probable reserves to 132 million barrels of oil equivalent at the end of the 2009."
Dana Gas has also announced the first production from its West Qantara Concession in the Nile Delta from the Sama Field which was put on stream in February five weeks ahead of schedule, just eight months after discovery.
‘Excellent start'
Dr Hani Al Sharkawi, president of Dana Gas Egypt, said: "These two wells are an excellent start to 2010.
"We still have a sizeable portfolio of drillable prospects and our exploration activity will continue throughout the year, as will our development activities."
