BP Egypt announced a “significant” gas discovery in the East Nile Delta. The deepwater exploration well, named Salamat, is the deepest well yet drilled in the Nile Delta. It is the first well in the North Damietta Offshore concession granted in February 2010 and operated by BP.
The well was drilled using the sixth-generation semi-submersible rig Maersk Discoverer in water depth of 649 meters (2,129 feet) and reaching a total depth of around 7,000 meters (22,966 feet). The wireline logs, fluid samples and pressure data confirmed the presence of gas and condensate in 38m (125 feet) net of Oligocene sands in Salamat. Further appraisal will be required to better define the field resources and to evaluate the options for developing the discovery.
|BP production and exploration in Egypt. Red arrow points to the Damietta concession, location of the Salamat exploration well. Click to enlarge.
The Salamat discovery is located around 75 kilometers north of Damietta city and 35 kilometers to the northwest of the Temsah offshore facilities. BP has 100% equity in the discovery.
Success with Salamat proves hydrocarbons in the centre of a 50-km long structure. With a hydrocarbon column in excess of 180 metres, the discovery increases our confidence in the materiality of the deep Oligocene play in the East Nile Delta.—Mike Daly, Executive Vice President Exploration at BP
BP, with a history in Egypt stretching back 50 years, is one of the largest foreign investors in the country. To date, BP Egypt, in collaboration with the Gulf of Suez Petroleum Company (GUPCO), BP’s joint venture (JV) company with the Egyptian General Petroleum Company (EGPC), has produced almost 40% of Egypt’s entire oil production and currently produces almost 15% of Egypt’s annual oil and condensates production.
In addition, through BP’s second JV with EGPC/EGAS, the Pharonic Petroleum Company (PhPC), and together with our partners, BP currently produces more than 30% of Egypt’s total gas production.
BP is also present in the downstream sector through Natural Gas Vehicles Company (NGVC, BP 40%) which was established in September 1995 as the first company in Africa and the Middle East to commercialize natural gas as an alternative fuel for vehicles.