Dana Gas wins deepwater block offshore Egypt

Dana Gas expects award of a 100% interest in an offshore Nile Delta license under the Egyptian Natural Gas Holding Co. 2012 international bid round.

Offshore staff

SHARJAH, UAE – Dana Gas expects award of a 100% interest in an offshore Nile Delta license under the Egyptian Natural Gas Holding Co. 2012 international bid round.

The 2,980-sq km (1,151-sq mi) North El Arish Offshore (block 6) concession is in the eastern part of the Mediterranean Sea, in water depths of up to 1,000 m (3,281 ft). The license has an initial four-year exploration period, extendable by two further periods of two years each. A 20-year development lease period will be granted if a commercial discovery results.

Dana Gas expects formal confirmation of the award in late 2013 following completion of regulatory procedures.

Dr. Patrick Allman-Ward, general manager of Dana Gas Egypt, said: “We believe block 6 holds significant potential, lying as it does on strike with recent material discoveries in adjacent acreage in theLevantine basin. The block provides an opportunity for Dana Gas to expand its operating activities in Egypt into both shallow and deepwater operating environments.” 

Additionally, the company has pre-qualified as a non-operator forLebanon’s first offshore licensing round, and will be able to bid when the round opens on May 2.

Only consortia comprising a minimum of three companies will be awarded a block, with each non-operator obliged to have a minimum 10% interest. Ten deepwater exploration blocks ranging in size from 1,500-2,500 sq km (579-965 sq mi) are to be available.

4/22/2013

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