United Oil & Gas plc said that the Al Jahraa-14 development (AJ-14) well has spud in the Abu Sennan joint venture licence, onshore Egypt.
JOINT VENTURE
The company holds a 22% working interest in the licence, which is operated by Kuwait Energy Egypt (KEE).
AJ-14
The AJ-14 development well, the third of five wells expected to be drilled during 2022, is designed to intersect the Abu Roash C (ARC) reservoir, targeting reserves from an undrained area of the Al Jahraa field.
A deeper secondary objective is the Abu Roash G reservoir, with the well targeting an area up-dip of the AJ-12 well (drilled in 2019), which tested oil from this reservoir.
If successful, the well is expected to be quickly tied into existing facilities, adding additional production and revenue for the company.
The operator is expected to take approximately 60 days to drill and complete AJ-14.
ASV-1X WELL
The testing programme on the ASV-1X well continues with the installation of a rigless testing unit and downhole pump.
PAYBACK
“As we have shown, successful development wells can be brought into production within days via existing infrastructure, adding production and revenue to the company and with a typical well achieving payback within several months,” said chief executive Brian Larkin.
“Egypt offers a low-cost operating environment, with attractive fiscal terms and continues to deliver positive operational cash flow to United”.