Second appraisal brings prospect of Egyptian LNG project closer

Oct. 26, 2001
UK's BG Group PLC and Italy's Edison International SpA have drilled a confirmation that increases chances for an Egyptian LNG project.

By the OGJ Online Staff

LONDON, Oct. 26 -- UK's BG Group PLC and Italy's Edison International SpA have confirmed the largest gas column discovered in Egypt.

The successful appraisal well brings the prospect of the first Egyptian liquefied natural gas export project closer (OGJ Online, Apr. 9, 2001).

The two companies drilled the Sapphire 3, the second Sapphire appraisal well, in the West Delta Deep Marine Concession (WDDM) 60 km off the Nile Delta.

The well, in the south central area of the concession, 20 km north of Rosetta field, was drilled to 2,900 m TD in 450 m of water. The first target was the previously undrilled Saffron Channel C in the Scarab-Saffron Complex. The well proved pressure communication between Channel C and the Saffron discovery, indicating a gas column in excess of 575 m, the largest gas column recorded in Egypt.

A second target was the Sapphire sands. The well penetrated all sands present in Sapphire 1 and Sapphire 2, located 15 km to the west of Sapphire 3. Pressure data and geochemical analysis indicates that all three Sapphire wells are in communication. Testing of the well was not conducted since Sapphire 3 penetrated known reservoirs.

Stuart Fysh, vice-president of BG Egypt, said, "This is an excellent result from our appraisal and development program in the concession. Early evaluation of the data from the well indicates greater reserves than previously modeled. BG Egypt, Edison International, and Egypt General Petroleum Corp. are targeting this gas and further reserves from the concession for their proposed Egyptian LNG project."

Burullus Gas Co., a joint venture between EGPC 50%, BG Egypt 25%, and Edison International 25%, is responsible for the drilling and field development of the WDDM concession.

Sapphire3 is the twelfth successful appraisal well drilled in the concession and the 15th well drilled. In September 2000, Sapphire 1 tested 35 MMcfd and 1,100 b/d of condensate and in December 2000 the Sapphire-2 appraisal well tested 33 MMcfd and 805 b/d of condensate (OGJ Online, Feb. 15, 2001).