Egypt

Beach Energy Ltd., Adelaide, has acquired subject to regulatory approval a 22% stake in the Abu Sennan concession in Egypt’s Western Desert and a 15% interest in the Mesaha Area concession in the Mesaha graben of southwestern Egypt bordering Sudan.

Aug. 4, 2010

2 min read

By OGJ editors
HOUSTON, Aug. 4 – Beach Energy Ltd., Adelaide, has acquired subject to regulatory approval a 22% stake in the Abu Sennan concession in Egypt’s Western Desert and a 15% interest in the Mesaha Area concession in the Mesaha graben of southwestern Egypt bordering Sudan.

Abu Sennan, operated by Kuwait Energy Egypt Ltd. with 50% interest, covers 1,600 sq km 300 km west of Cairo. Four of the block’s numerous multipay prospects identified on a blockwide 3D seismic survey are to be drilled in Beach’s 2011 fiscal year. Dover Investments Ltd. has 28% interest in Abu Sennan.

Appraisal drilling of the GPZZ oil discovery to establish reserve size is expected in the current quarter. Deeper targets, with highly productive reservoirs with the potential to add tens of millions of barrels of oil equivalent to reserves, have been drilled in adjacent concessions.

Melrose Egypt Mesaha Ltd., Edinburgh, is operator of Mesaha with 40% interest. Mesaha, covering 57,000 sq km, is the site of a regional 2D seismic shoot. The part of the Mesaha graben that lies in the concession is larger than the Gulf of Suez. Hellenic Petroleum SA has 30% interest, and KEC (Egypt) Ltd. has 15%.

Beach has interests in the North Shadwan and Southeast July concessions in Egypt. First production from NS-377 oil field at North Shadwan is expected in the second half of 2010.