Monday, August 31, 2015

‘Super Giant’ Discovery Made Offshore Egypt

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A natural gas discovery has been made off the coast of Egypt in the Mediterranean that could in time provide a substantial amount of feedstock for the domestic power market. Italy’s ENI announced that drilling on its Zohr prospect resulted in a “world class supergiant” natural gas discovery.

The well, the Zohr 1X new field wildcat, is located in the Shorouk Block in the deepwater of the Mediterranean. The well was drilled in 4,757 ft water depth to 13,553 ft total depth. The well encountered a hydrocarbon column at 2,067 ft in a carbonate sequence of Miocene age with excellent reservoir characteristics, with what ENI said contained over 400 meters of net pay. The structure also has a deeper Cretaceous upside that will be targeted in the future with an appraisal well.

ENI said that according to the well and seismic data available, the discovery could hold a potential of 30 Tcf of lean gas in place (5.5 billion boe in place) covering an area of about 100 sq km. The statement added that the Zohr is the largest gas discovery ever made in Egypt and in the Mediterranean Sea, and could become one of the world’s largest natural-gas finds.

The company will immediately appraise the field with the aim of accelerating a fast track development of the discovery that will best utilize existing offshore and onshore infrastructures.

Eni’s CEO, Claudio Descalzi said: “It’s a very important day for ENI and its people. This outstanding result confirms our expertise and our technological innovation capacity with immediate operational application, and above all shows the strength of the cooperation spirit amongst all the company’s units which are at the foundation of our great successes. Our exploration strategy allows us to persist in the mature areas of countries which we have known for decades and has proved to be winning, reconfirming that Egypt has still great potential. This historic discovery will be able to transform the energy scenario of Egypt in which we have been welcomed for over 60 years. The exploration activities are central to our growth strategy: in the last seven years we have discovered 10 billion barrels of resources and 300 million in the first half of the year, confirming ENI’s leading position in the industry. This exploration success acquires an even greater value as it was made in Egypt which is strategic for ENI, and where important synergies with the existing infrastructures can be exploited allowing us a fast production startup.”

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