Major Gas Discovery Strikes Gold in Egypt’s Nile Delta as Dana Gas Hits 9 Billion Cubic Feet
Dana Gas PJSC has struck commercial gas in Egypt’s Nile Delta region, with initial drilling results from the Begonia-2 appraisal well revealing an estimated 9 billion cubic feet of gas reserves that could grow significantly larger. The discovery marks the first success in the company’s ambitious $100 million investment program designed to boost Egypt’s domestic gas production.
The breakthrough comes as part of Dana Gas’s comprehensive development plan for the Begonia area within the New El-Manzala concession, operated through joint venture partner El-Wastani Patrolmen Company (Wasco). The successful well is already generating an additional 5 million cubic feet of gas per day through enhanced recovery practices, with drilling operations continuing using the EDC-54 rig.
Richard Hall, CEO of Dana Gas, described the discovery as “a significant strategic milestone” that signals the launch of their expanded Egyptian operations. The company plans to drill 11 new wells across the region, with the next well scheduled to commence drilling in August. Over the two-year program timeline, the initiative is expected to add approximately 80 billion cubic feet in recoverable gas reserves.
The timing couldn’t be better for Egypt’s energy sector, as the Ministry of Petroleum and Mineral Resources has expressed strong enthusiasm for projects that enhance domestic natural gas production potential. The government views such developments as crucial for strengthening the national energy system and driving broader economic development across the country.
Beyond the Begonia discovery, Dana Gas has also achieved success with recompletion activities at the Balsam-3 well, which generated 4 billion cubic feet of gas while ensuring an additional 3 million cubic feet of daily production. The company’s strategy focuses heavily on reinvesting payments received from the Egyptian government back into the country’s energy infrastructure development.
Source: oilreviewafrica.com
