The British multinational oil and gas company Shell announced a new gas discovery in the northeast El-Amriya block in Egypt's Mediterranean Sea on Tuesday.
Primary data confirmed the existence of a gas-bearing deposit in the offshore Nile Delta, where drilling operations were conducted at a depth of about 250 meters below sea level.
However, additional data analysis is necessary to ascertain the extent and salvage value of the discovery.
Shell and Kuwait Foreign Petroleum Exploration Company (KUFPEC) had inked a Farm Out Agreement (FOA) in September this year, in which KUFPEC obtained a 40% stake in the North East El-Amriya block, while Shell retained the remaining 60% share in the partner's share with the Egyptian Natural Gas Holding Company (EGAS).
Under the contract, the Stena Drilling for Mobile Offshore Drilling Unit (MODU) will execute the drilling campaign.
'This discovery is an important step forward for Shell Egypt, bolstering our growth aspirations and ongoing commitment as a key partner in Egypt’s energy landscape,' Khaled Kacem, vice president and country chair of Shell Egypt, was quoted as saying in the statement.
'Successful delivery of our current exploration campaign is part of Shell Egypt's growth strategy. Shell, together with its partners, will continue to work towards safely and efficiently reaching the development phase of the block,' Kacem added.
By Duygu Alhan