Eni has announced that a new Concession Agreement, aimed at governing an offshore exploration license in the prolific East Nile Delta Basin of the Mediterranean Sea, has received approval by Egyptian authorities.
The exploration license, Nour, is located approximately 50 kilometres offshore in the Eastern Mediterranean, in water depth ranging from 50 to 400 metres, and covers a total area of 739 km2. Eni plans to proceed with the drilling of an exploration well in the second half of the 2018.
Nour is operated by Eni through its subsidiary IEOC. In the concession, which is in participation with Egyptian Natural Gas Holding Company (EGAS), Eni holds an 85% stake in partnership with Tharwa Petroleum Company, which holds a 15% stake.
Eni has been present in Egypt since 1954, where it operates through its subsidiary IEOC. The company is the country’s leading producer with equity of approximately 300,000 barrels of oil equivalent per day.
In addition, the Egyptian Authorities have authorised a new Nile Delta Concession Agreement allowing a 10-year extension of the Abu Madi West Development Lease (203 km2), where the Nooros field is located, and the execution of further exploration activities within El Qar’a Exploration Lease (64 km2). These assets are located in the Great Nooros Area, one of the most prolific areas of the Nile Delta, offshore Egypt.
Moreover, Egyptian Authorities have authorised a 5-year extension of the Ras Qattara Concession Agreement and relevant Development Lease. Following this extension, a new drilling campaign in the Zarif and Faras fields will unlock remaining hydrocarbon reserves and allow further exploration activities within the Western Desert basin.
The Great Nooros Area’s asset lease extension strengthens Eni’s gas portfolio while confirming the success of Eni’s strategy of near field exploration that has revitalised production in the Nile Delta area, where the Nooros field is currently producing 32 million cubic metres of gas per day, corresponding to about 215,000 boed. Eni, through its subsidiary IEOC, holds a 75% stake if the Concession in partnership with BP, which has a 25% stake. The operator of Nile Delta is Petrobel, a joint venture between IEOC and Egyptian General Petroleum Corporation (EGPC).
In the Ras Qattara concession, which covers an area of 104 km2, Eni holds a 75% stake while its partner INA holds a 25% stake. The Operator is AGIBA, a joint venture.