A Review of the Nigerian Energy Industry

Egypt records fresh gas discovery

22 October 2012, Sweetcrude, CAIRO – DANA Gas of the Arab Emirates has hit a new discovery on its West El Qantara concession in Egypt’s Nile Delta region.

Dana Gas said the discovery, in the West Sama-1 well in the in the Kafr El Sheikh formation, could hold as much as 4 to 6 billion cubic feet of gas.

Following the discovery, the company is now preparing its development plan, which will be tied to a nearby pipeline and the equally nearby South El Manzala gas processing plant.

The discovery followed another announcement by the company over the weekend that it had loaded its first propane cargo earlier this month from its natural gas liquids extraction plant at Ras Shukheir in Egypt.

The first cargo was loaded on 1 October which Dana said signaled scheduled plant production start-up on a commercial basis.

The plant, when fully operational, is planned to extract 120,000 tonnes per annum of propane and butane from a gas stream of 150 million cubic feet per day.

The plant is operated by Egyptian Bahrain Gas Derivatives Company, a joint venture between Dana (26.4%), Egyptian Natural Gas Holding Company (40%) and Arab Petroleum Investments Corporation (20%).

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