Shell Completes Sale of Western Desert Assets in Egypt to Cheiron and Cairn - JOURNAL OF PETROLEUM TECHNOLOGY (JPT)

NEAG 1 in NE Abu El-Gharadig, Western Desert

September 26, 2021

Pat Davis Szymczak

Royal Dutch Shell has completed the sale of its upstream assets in Egypt’s Western Desert to a consortium of independent E&P operators focused on revitalizing mature oil and gas fields, Cheiron Petroleum Corporation and Cairn Energy, both UK-based.

Having received final government and regulatory approvals completing the sale, Shell said it will focus its Egyptian business on the offshore, including the West Delta Deep Marine (WDDM), the Harmattan Deep Project, and exploration acreage in seven new blocks in the Nile Delta, West Mediterranean, and the Red Sea, according to a 24 September news release.

Shell’s midstream focus will remain on its Egyptian LNG joint venture; downstream the company still retains Shell Lubricants Egypt.

Pharaonic Petroleum's total gas production hit 600 mcf/d - EGYPT TODAY /MENA

Thu, May. 31, 2018

CAIRO - 31 May 2018: The Pharaonic Petroleum Company (PhPC) on Thursday revealed that its total natural gas production hit 600 million cubic feet (mcf/d) per day, in addition to 11,000 barrels of condensate per day.

The announcement came during an inspection tour paid by Petroleum Minister Tarek el Molla to Port Said governorate to follow up on the progress of work at oil and gas production sites there.

During his tour, the minister said that underway projects to extract natural gas and its derivatives in Port Said represent a successful model on how to make good use of Egypt's natural gas resources.

The upcoming phase is expected to witness a boom in the activities of oil and gas exploration in some concession areas, especially after launching two global bids on this regard, el Molla added.

BG pursues two offshore Egypt gas developments | Offshore

08/01/2014

READING, UK – BG Group and its partners have submitted a development plan for the Notus high-pressure/high-temperature and Harmatten Deep gas discoveries in the Egyptian sector of the Mediterranean Sea.

The plan is in accordance with the El Burg offshore concession agreement. BG adds, however, that the release of funds for any further Egyptian development projects, including West Delta Deep Marine (WDDM) Phase 9b, remains contingent on an improvement in the local investment climate. It remains in discussions with Egypt’s government.

BG’s Egyptian fields produced a total of 57,000 boe/d for the company in 2Q 2014, down 14% from 1Q. This is a result of deteriorating reservoir performance and the continued high proportion of diversions to Egypt’s domestic market, where the company is entitled to a lower share of production.

The first WDDM Phase 9a well has come onstream, however the nine-well development will only temporarily offset underlying E&P production declines, the company says.