Azhar-1 well to add 100 bcf to Dana Egypt reserves

Dana Gas's Azhar-1 well may add up to 100 bcf (16 MMboe) to the company's reserves in Egypt.

Offshore staff

SHARJAH, UAE -- Dana Gas's Azhar-1 well may add up to 100 bcf (16 MMboe) to the company's reserves in Egypt.

The well hit 18 m (59 ft) of net pay in a good quality sandstone reservoir of the Qawasim formation, the company says. The initial production test from an 18-m (59-ft) interval yielded production of 15.1 MMcf/d of gas and 444 boe/d through a 32/64-in choke.

The well is in the West El Manzala concession, approximately 10 km (6.2 mi) from the company's El Wastani gas processing facilities. The well was spudded on Dec. 6, 2008, reaching TD of 3,150 m (10,335 ft) in the upper Sidi Salim formation.

A preliminary estimate of the exploration reserves of Azhar-1 discovery exceeds 100 bcf of gas. Additional wells are planned for other potential hydrocarbon bearing zones that might increase the total reserves up to 150 bcf gas, the company says.

"The development plan includes the drilling of a number of appraisal and development wells that will be tied into the nearby pipeline, which Dana Gas is currently constructing, to connect the recent El Basant discovery to the El Wastani field," says Dr. Hany Elsharkawi, Dana Gas Egypt country director. "We expect to start production from Azhar-1 during mid-2009, which will take the Dana Gas El Wastani plant to full capacity."

02/23/2009

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