The US-based Apache Corporation, in partnership with the Egyptian General Petroleum Corporation, announced the discovery of a new natural gas reserve after drilling a test well called SKAL-1X, located in the South Kalabsha area of Egypt’s Western Desert.
A press release from the Egyptian Ministry of Petroleum and Mineral Resources said the discovery is part of efforts to boost investment, increase domestic gas production, and reduce energy import costs.
Preliminary results from the well indicate that it is producing about 26 million cubic feet of natural gas per day, as well as 2,700 barrels of condensate.
The ministry said the success was the result of incentives and measures taken to develop the oil sector, which played a major role in Apache expanding its exploration and exploration activities, especially in new areas near its existing fields.
The new deposit is located in one of the company’s recently allocated areas, and is close to its previous production facilities. This is said to increase investment potential and reduce costs, as it takes advantage of existing infrastructure.
This approach is also expected to accelerate development activities and quickly add new deposits to the country’s production list. This will help cover the natural decline from aging wells, while reducing capital expenditure (CAPEX).
Apache, which has been operating in Egypt since the mid-1990s, is one of the largest oil and gas producers in the Western Desert, in partnership with EGPC and Khalda Petroleum.
