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    UOG Reports 69% Output Growth at Egyptian Site

Summary

UOG aims to deliver additional gas volumes by the end of the year.

by: Joseph Murphy

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UOG Reports 69% Output Growth at Egyptian Site

Production at the Abu Sennan concession in Egypt soared by 69% in the first half of June compared with the level in April, to 13,900 boe/d, one of its developers, London-listed United Oil & Gas, said on June 24.

UOG owns a 22% interest in the concession, netting it 3,060 boe/d of output in the first half of June. Its partners are operator Kuwait Energy (25%), Global Connect (25%) and Dover Investments (28%).

The growth was thanks to ongoing testing at the El Salmiya-5 well, with flows from the concession's El Salmiya field averaging 4,000 b/d of oil and 16mn ft3/d of gas during the period.

Abu Sennan's proven and probable reserves had been reassessed as 12.5% higher as of December 31 2019, at 13.5mn boe, following an independent appraisal by Gaffney Cline & Associates. Gross proven reserves were up 76% at 4.2mn boe. As El Salmiya-5 was sunk this year, its resources were not included in the report.

"It is really pleasing to see the Abu Sennan assets continuing to perform so strongly and the potential that we recognised in the assets being realised," UOG's chief operating officer Jonathan Leather said. "Much as we expect the production at the El Salmiya-5 well to be choked back from the current levels, it is fair to say that net production of over 3,000 boe/d at this stage has surpassed even our own high expectations for the licence."

UOG aims to deliver additional gas by the end of the year through further development,  Leather said, adding that there was also a "substantial" exploration opportunity at the concession.