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Tuesday, October 19, 2021
United Oil and Gas reports that it has made a commercial discovery at the ASX-1X exploration well in the Abu Sennan license, onshore Egypt. The ASX-1X well is located 7 km to the north of the producing Al Jahraa Field. It safely reached a total depth of 4,272 meters, several days ahead of schedule and under-budget.
Preliminary results suggest the well encountered a combined net pay total of at least 10m across a number of reservoir intervals, including the primary reservoir targets of the AR-C. Based on further interpretation of the well data, there was sufficient confidence for the operator, Kuwait Energy Egypt, to submit notice of a commercial discovery at ASX-1X and an application for a 11.92 sq km development lease to EGPC.
On October 12, 2021, the Minister of Petroleum approved the award of this ninth development lease within the Abu Sennan license. Production has now commenced from the AR-C reservoir with initial gross rates of 870 bopd (191 bopd net), achieved on a 64/64” choke. This is an exceptionally quick turnaround of just three weeks from announcing the initial exploration well results to securing a development lease and bringing this new discovery onto production and generating revenue.
The company has made plans for the Al Jahraa-13 development well which will target the Upper and Lower Bahariya reservoirs in the Al Jahraa Field and follows up on the success that was achieved with the Al Jahraa-8st well. The ECDC-6 rig is shortly expected to mobilize from its current location in the Eastern Desert, with the well-spud expected within the coming weeks.
United Chief Executive Officer, Brian Larkin commented: “The Commercial discovery at ASX-1X well and the fast track to production will enhance revenue and further increase the proven reserves on the license.
Another new discovery is a further positive sign for the remaining exploration potential within license, and we will continue to work with our Joint Venture partners to prioritize these opportunities which can be brought into production in short time frames.
We are looking forward to the spudding of the Al Jahraa 13 development well in the coming weeks. This will be the fifth well in our 2021 drilling program. With the excellent record of exploration and development drilling success we have had on Abu Sennan to date, we are very excited about the four well drilling campaign next year and beyond, and the potential that the license offers for years to come.”
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