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Saturday, April 27, 2024 3:58 GMT
Canadian independent TransGlobe Energy recently updated production numbers and drilling activity from operations in Egypt in its Q1 financial, operations and corporate update. The company’s year-to-date productions average out of the North African country stood at 12,515 bpd (working interest before royalties and taxes).From the Western Desert – South Ghazalat (100% WI) the SGZ-6X well is producing from the Upper Bahariya reservoir at a rate restricted to a field estimated 200 – 250 bopd light and medium crude to evaluate the well, manage the reservoir and optimize the separation of oil, gas and water.On its Eastern Desert (100% WI) assets, during the first quarter of 2020, the company drilled a development oil well in the Eastern Desert at West Bakr. The HW-2A development well was drilled to a total depth of 1,639 meters. Due to stuck pipe, only the Yusr-B reservoir was fully logged and evaluated with an internally estimated 0.3 meters of net oil pay. The other Yusr reservoirs and the upper Bakr reservoir, though all exhibiting good oil shows, were not logged at this time. HW-2A is expected to be completed in April 2020 as a producer on 5.4m of oil bearing Yusr-C reservoir observed on the mud logs. The SHAMS-2 rig will be demobilized following the HW-2A completion.The company also reported that discussions with our joint venture operating partner are ongoing to reduce operating expenditures. Any material operating cost reductions in Egypt will require the assistance of the company’s Egyptian joint venture partner, the Egyptian General Petroleum Corporation (EGPC).It also said constructive negotiations with EGPC to amend, extend and consolidate the company’s Eastern Desert concession agreements have continued through the period, with both parties recognizing the attractiveness of a revised agreement to stabilize and ultimately improve investment in production, following a return to a more normalized commodity price environment.