Dana Gas announces new gas discovery in Egypt’s Nile Delta with up to 25 bcf reserves

Dubai: Dana Gas, the Middle East’s largest privately owned natural gas firm, has announced a new gas discovery at the North El-Basant 1 exploratory well in Egypt’s onshore Nile Delta. Initial results indicate reserves of 15-25 billion cubic feet (bcf) of natural gas, with production expected to exceed 8 million standard cubic feet per day (mmscfd) once the well is tied into the national grid.

The discovery marks another step in the company’s ongoing $100 million drilling programme in Egypt, aimed at boosting domestic gas output, replenishing reserves and supporting national energy security.

The North El-Basant 1 well is the fourth in Dana Gas’s 11-well development and exploration programme under its current investment cycle. Three earlier wells, completed earlier this year, collectively added around 10 mmscfd of gas production. The full programme is expected to contribute an estimated 80 bcf of recoverable gas reserves once completed.

In parallel, Dana Gas has also recompleted three existing wells, adding a further 9 mmscfd outside the current programme. Combined, these drilling and recompletion efforts have added about 30 mmscfd of additional production capacity to Egypt’s gas network.

The next well in the sequence, the Daffodil exploration well, is scheduled to be spudded in early January 2026.

Richard Hall, Chief Executive Officer of Dana Gas, said the latest success confirms the strength of the company’s strategy to expand its reserves base in a well-established producing region.

“The latest drilling success reinforces the value of our investment programme in Egypt and highlights the significant remaining potential within the Nile Delta,” Hall said. “The North El Basant-6 result builds on the momentum of our earlier wells and supports our efforts to increase domestic gas supply and reserves. By increasing local gas production, the programme will help reduce Egypt’s reliance on imported LNG and fuel oil and is expected to generate more than one billion dollars in savings for the national economy over time.”

Hall noted that cooperation with Egyptian authorities has played an important role in advancing the programme’s progress. “Our agreement with EGAS has enabled us to secure additional acreage under improved fiscal terms and to accelerate this new phase of drilling activity. We appreciate the strong cooperation from EGAS and the Ministry, and we remain committed to delivering the majority of our planned programme next year. Regular and timely payments from our partners are crucial to sustaining our investment program in Egypt.”

The North El-Basant discovery supports Egypt’s broader objective of stabilising domestic gas supply and reducing reliance on imported fuels. The country, which has experienced fluctuating LNG exports amid constrained production, is banking on private-sector partnerships, such as Dana Gas’s, to expand exploration activity and optimise recovery rates from mature fields.