SDX Sees New Production Online in Egypt’s West Gharib

Energia-africa
Energia-africa janvier 10, 2022
Updated 2022/01/10 at 11:32 AM

SDX Energy Plc reports that it has commenced oil production at the MSD-21 infill development well on the Meseda field in its West Gharib concession, Egypt where the company holds a 50% working interest.

MSD-21 encountered the primary top Asl Formation reservoir at 4,040 ft MD (3,251 ft TVDSS) and reached 4,740 ft TD, after drilling through 62.3 ft of good-quality, net oil pay sandstone with an average porosity of 21.3%. The well has now been successfully perforated, tied-in to the existing facilities, and flow tested. It is expected that, post-clean up, the well will achieve a stabilized gross production rate of c.300 bpd which is in line with pre-drill estimates.

MSD-21 is the first well in a fully-funded, 12-well development campaign at the Meseda and Rabul oil fields in the West Gharib concession, Egyptian Eastern Desert. The development drilling campaign is aiming to grow gross production from current rates of c.2,100 bpd to c.3,500 – 4,000 bpd by early 2023.

The rig is now in the process of moving to the next well in the campaign, MSD-25, which is expected to spud by mid-January.

Mark Reid, CEO of SDX, commented: “We are pleased to get MSD-21 successfully perforated and connected to our infrastructure. The well is now producing and, when it has fully cleaned-up, we expect it to contribute c.300 bpd of gross oil production. This campaign provides a low-cost, highly beneficial exposure to the oil price and with a netback of $35/bbl at $68/bbl Brent in the first nine months of 2021, West Gharib is a very high margin asset in our portfolio. MSD-21 and subsequent wells are expected to significantly boost the production and cashflow from these fields in the coming months and I look forward to updating the market further as the campaign progresses.”

Share this Article