The program of further development of the concession area for the financial year 2021/2022 was approved on Sunday, June 6, 2021, in Cairo, during a meeting of shareholders of the operating company Petrosannan Company.
Petrosannan Company, a joint venture between NJSC “Naftogaz of Ukraine” and the Egyptian General Petroleum Corporation in the financial year 2020/2021 increased gas and oil production in the Arab Republic of Egypt by 40% and 20% respectively. The adopted program includes further measures to increase hydrocarbon production, intensify well productivity and increase the resource base.
The strategy of Petrosannan Company’s activity and development of Naftogaz’s Egyptian assets provides a set of measures. These include plans of oil fields water flooding, which will increase hydrocarbon production, fracturing campaigns to increase well productivity and, of course, drilling to increase oil and gas production in the Alam El Shawish area.
According to the new Program, by the end of June 2022 the company will also work to increase the resource base of hydrocarbons. It is planned to achieve this result through seismic exploration works and drilling of exploration and production wells.
Among the declared goals is also the reduction of operating costs of Petrosannan Company. In particular, through the replacement of leased equipment with owned one.
“The work we started on the concession area in the Western Desert of Egypt this spring has already brought visible results and shown its effectiveness. A pilot fracturing campaign has helped us to increase both oil and gas production. The potential of Naftogaz's assets in Egypt is high, so we can talk about further increasing the production and development of the oil and gas business in this area" said Sergii Pereloma, First Deputy Chairman of the Board of Naftogaz of Ukraine.
Integrated Communications Department
NJSC Naftogaz of Ukraine