Egypt

Sea Dragon Energy Inc., Calgary, acquired a 10% working interest in the North West Gemsa development and exploration lease in Egypt’s Gulf of Suez onshore area from Premier Oil Overseas BV for $12.5 million.

Aug. 20, 2009

By OGJ editors
HOUSTON, Aug. 20 – Sea Dragon Energy Inc., Calgary, acquired a 10% working interest in the North West Gemsa development and exploration lease in Egypt’s Gulf of Suez onshore area from Premier Oil Overseas BV for $12.5 million.

Vegas Oil & Gas operates the 250 sq km concession with 50% interest, and Circle Oil PLC has 40%.

The government issued a 20-year development lease around the October 2008 Al Amir-SE-1 discovery well that tested 3,388 b/d of 41° gravity oil and 4.25 MMscfd of gas. The Geyad-1X discovery in May 2009 tested 2,809 b/d and 3.04 MMscfd from a lower zone and 1,174 b/d and 1.324 MMscfd from an upper zone.

Production of 2,250 b/d of oil is to rise to 6,000-7,000 b/d with more facilities and gas commercialization is under study.