ATHENS, Greece – Energean has committed to the NEA/NI subsea tieback gas project in the West Nile Delta offshore Egypt.
Estimated capex is around $235 million, most of which is set to be incurred in 2022, with start-up anticipated in the second half of that year. Energean has appointed TechnipFMC as the EPC contractor.
The facilities will develop 49 MMboe, with peak production close to 90 MMcf/d, plus 1,000 b/d of condensates.
Energean inherited 100% stakes in the NEA and NI concessions following its acquisition of an E&P portfolio from Italy’s Edison. While both are operated through separate 50/50 JV companies, they also come under the overall management of Abu Qir Petroleum.
NEA contains two discovered and appraised gas fields, Yazzi and Python. NI – split into northern 21 and southern areas – has four discovered gas fields, one said to be development-ready.
Yazzi and Python will be developed as satellite fields to the Abu Qir gas/condensate offshore/onshore infrastructure. Python, discovered in 2011, is productive in the Kafr El Sheikh formation.
Three subsea wells will be drilled in water depths ranging from 30-85 m (98.4-279 ft), tied back to the North Abu Qir III platform. A fourth well will develop the NI-1 discovery.
According to Energean, the shallow-water Abu Qir concession is the oldest gas producing area of the Mediterranean Sea, and still one of Egypt’s largest gas production hubs.
It comprises the Abu Qir, North Abu Qir and West Abu Qir, with six production platforms interconnected by pipelines. Energean has a 100% ownership interest.
The Abu Qir concession expires on Jan. 31, 2033, including a five-year extension, and production should continue to that date.
To the north offshore Sicily, the Cassiopea development (also inherited through Edison) continues, with first gas expected in 2024, and plateau production of around 150 MMcf/d.
Other planned activities in the Italian sector this year for Energean include side track drilling on the Calipso field and a workover in the Monte Urano license, with more side tracks to follow on Rospo Mare during 2023-2024.
Later this year, Energean expects to increase its interests in the producing Rospo Mare and Vega fields to 100%, with Eni having issued notice that it will withdraw (subject to government approvals).
In the UK central North Sea, Edison is a partner to CNOOC in the first of two wells currently in progress on the Glengorm gas-condensate discovery.
Appraisal drilling on last year’s Isabella discovery in the same region, operated by Total, should start in 2022.