Advertisement

Eni finds more natural gas in Egypt

Italian company expects to get production moving in two months.

By Daniel J. Graeber

MILAN, Italy, July 20 (UPI) -- Italian energy company Eni said Monday it made what it considers to be an important discovery of natural gas in the Egyptian Nile Delta.

Eni said it made a discovery in the Nooros exploration prospect in the Abu Madi West license area, about 75 miles northeast of Alexandria.

Advertisement

"Preliminary estimates of the discovery account for a potential of 530 billion cubic feet of gas in place with upside, plus associated condensates," the company said in a statement.

Eni in January signed two new agreements in the deep waters of the Mediterranean Sea following an auction held by the Egyptian government in 2013. In March, the company said it signed a framework agreement to develop Egyptian oil and gas reserves that calls for as much as $5 billion in investments.

The company in its statement Monday said the latest discovery in the Nile Delta will be put into production within two months using existing gas treatment facilities about 15 miles from the discovery.

Eni said the discovery at Nooros is emblematic of its strategy to focus on Egyptian assets close to existing infrastructure and with high resource potential.

Advertisement

Eni's discovery comes nearly a month after Emirati energy company Dana Gas said it started a new drilling campaign in Egypt in a deal that gives it the right to sell the government's share of reserves.

Operating in Egypt since 1954, Eni said it has an equity production of around 210,000 barrels of oil equivalent per day.

Latest Headlines