Egypt's Abu Sennan Partners Launch Gas Pipe
A gas pipeline has been completed and commissioned at the Abu Sennan licence in Egypt, increasing gas recovery rates, one of the project's partners London-listed United Oil & Gas (UOG) said on December 30.
The ASH pipeline connects the ASH field with existing gas processing facilities at El Salmiya, all situated within the licence. It was finished on time and under budget this month and brought on stream on December 27, UOG said. Over the last two days it has delivered gas at an average rate of 5.45mn ft3/day, in line with UOG's expectations.
UOG, which has a 22% interest in Abu Sennan, will net 1.2mn ft3/day of this gas flow. The Abu Sennan licence is operated by Kuwait Energy with a 25% stake, while Global Connect has 25% and Dover Investment has 28%.
The pipeline's completion not only improves recovery but also environmental efficiency, UOG said, adding that future production from the as yet incomplete ASH-3 well could be monetised more efficiently.
"Since United entered the Abu Sennan licence, the joint venture partners have made excellent progress in increasing production, not just through drilling activity but also through low capital expenditure on infrastructure development," UOG CEO Brian Larkin said in a statement. "We look forward to further progress in 2021 with the recommencement of drilling activities, starting with the ASH-3 development well."
UOG acquired its position in Egypt in February through the $16mn takeover of fellow UK junior Rockhopper's business in the country. Abu Sennan lies in Egypt's Western Desert region and comprises seven producing fields and an exploration zone.