UAE’s Dragon Oil begins production from Al Wasl field in Egypt, targets 7 new wells

UAE – Mubasher: Dragon Oil, wholly owned by the Dubai government, commenced the production of crude oil from the Al Wasl field of North Safa oil field at the beginning of 2024.

The UAE company plans to drill seven new wells over the coming two years upon a plan approved with the Egyptian authorities to reach 15,000 barrels per day (bpd) of crude oil production from the Al Wasl field, according to a press release.

North Safa oil field is the first oil discovery by Dragon Oil in Egypt back in 2021. In addition, Al Wasl field is considered the largest oil discovery in the Gulf of Suez region during the last 20 years, with an oil reserve surpassing 95 million barrels at the very least.

Moreover, the crude oil reserves from the Egyptian field encouraged the UAE firm to adopt an ambitious project for early production with $200 million worth of a total investment.

Dragon Oil stated that the project currently includes the establishment of a new offshore production platform as well as executing measures like extending a production and electricity lines to operate oil production pumps. This is besides a water injection project, which all would maintain high production rates and reach the highest development rates for existing reserves.

The plan was put on production at an initial daily rate of 3,000 barrels of crude oil. Meanwhile, Dragon Oil is currently working on connecting the second well south of Belayim 293-6 with the production line during the middle of January 2024 to raise the production capacity to 3,000 bpd. This will eventually increase the platform’s crude oil production to 6,000 bpd.

In 2020, Egypt’s Ministry of Petroleum and Mineral Resources unveiled Dragon Oil’s acquisition of the UK-based BP Plc’s stake in the concessions of Gulf of Suez Petroleum Company (GUPCO) for $500 million.

Source: Mubasher Source: {{details.article.source}}