Dana Gas increases production by 20%
Dana Gas Co.'s production in Egypt is at 35,000 boe, a 20% increase over 2008 following El Basant field starting production Mar. 31 (OGJ Online, Apr. 14, 2009).
OGJ International Editor
LONDON, May 14 -- Dana Gas Co.'s production in Egypt is at 35,000 boe, a 20% increase over 2008 following El Basant field starting production Mar. 31 (OGJ Online, Apr. 14, 2009).
The company is producing 170 MMscfd of gas, which is processed at its El Wastani gas plant in the Nile Delta; throughput will be increased to 180 MMscfd.
Dana Gas tested 11.5 MMscfd through a 32/64-in. choke from the second well on the Sondos dry gas discovery. In June, the field is expected to come on stream, and gas will be sent to the South El Manzala gas treatment facilities.
Once this and the expansion of El Wastani is completed, Dana Gas Egypt's gas production will rise close to 200 MMscfd.
Since last May it has completed the drilling of 10 exploration wells with 5 discoveries, and 4 wells are being drilled. Dana Gas plugged and abandoned the Shahin and Narges exploration wells after finding they were noncommercial. They cost $23 million to drill.
Dana Gas Chief Executive Officer Ahmed Al-Arbeed said, "This exploration program is yielding excellent results and, although we have had two dry holes, our success rate remains well above the industry average. Bringing exploration discoveries on stream within just a few months of their discovery maximizes their value. Our target in Egypt is to be producing around 40,000 boe/d by the end of 2009, an increase of more than 25% compared [with] the rate we achieved at the end of 2008."
Dana Gas Egypt's Country Director Hany Elsharkawi said the acquired data was helping the company refine its interpretation of the 3D seismic and increase confidence in drilling locations. "We have significant exploration potential in over 100 mapped prospects on our concessions, and we will continue to drill selectively while closely monitoring our finding costs. Part of our drive to save costs and increase efficiency in the company has included diverting a drilling rig to our operations in the Kurdistan Region of Iraq where we are drilling on the Khor Mor and Chemchemal gas fields."
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