Agiba Petroleum Co.—a 50-50 joint venture of Eni SPA subsidiary IEOC Production BV and Egyptian General Petroleum Corp. (EGPC)—has initiated startup activities for its Meleiha Phase 2 project in Egypt’s Western Desert, advancing development of a gas hub in the Merged Meleiha concession.

Part of the operator’s development of a new gas hub within the Merged Meleiha concession and designed to increase processing capacity for from the area’s natural gas fields to support growth of Egypt’s domestic output, the planned installation will be equipped to process up to 100 MMcfd of gas production, Eni said in a release Oct. 20.

Planned infrastructure at the site includes development wells, gathering systems, trunklines, and a dedicated gas-export pipeline connecting new production to Egypt’s existing gas network.

Eni did not reveal a schedule for completing full startup and commissioning activities for Meleiha Phase 2, but—once completed—the company said the project will help enable the rapid monetization of Egypt’s natural resources and enhanced operational efficiency.

Western Desert development

Meleiha Phase 2 builds on Agiba’s ongoing exploration and development in the Western Desert concession. In April 2022, Eni reported that three discoveries in the Meleiha concessions had been tied into production, adding an estimated 8,500 boe/d.

The Nada E Deep 1X well encountered 60 m of net hydrocarbon pay in the Alam El Bueib and Khatatba formations. Meleiha SE Deep 1X found 30 m in the Matruh and Khatatba formations, while Emry Deep 21 encountered 35 m in Alam El Bueib.

Including discoveries made in 2021, Eni said the results brought the exploration total to eight wells, with a 75% success rate.

Agiba operates the Meleiha concession, in which it holds a 76% interest alongside partner Lukoil PJSC (24%), according to Eni’s website.