Dana Gas has announced the West Sama-1 and Allium-1 fields in Egypt have commenced commercial production, less than two months after initial well testing was conducted
The new fields were among the three discoveries made by Dana Gas in Nile Delta Basin during the company’s 2012 multi-well drilling programme.
Dana Gas has planned to bring Balsam-1 into production in second half of 2013. Gas production at West Sama-1 and Allium-1 has been routed through Dana Gas’ South El Manzala and El Wastani gas plant respectively.
Rashid Al Jarwan, executive director of Dana Gas, said, "The wells will increase our production by 566,337 cubic metres per day, providing much needed additional production to the Egyptian market and maintaining vital supplies of gas for power generation.”
Patrick Allman-Ward, general manager of Dana Gas Egypt, said, “Dana Gas is well positioned to bring new discoveries on stream due to the onshore location of our assets where tie ins to our existing pipelines and processing infrastructure can be made quickly, relatively inexpensively and ensures a high return on our new gas discoveries.”
Production from the two wells is expected to add 3,450 bopd to the company’s 2012 Egypt year-end output rate of 32,000 bopd.
Allman-Ward added, "Dana Gas is continuing constructive discussions with the authorities on our remaining outstanding receivables, having received US$163mn from the government in 2012."
