Continental Focus, International Reach

RWE Sees First Operated Gas Production in Egypt

Wednesday, September 11, 2013

First gas has been produced from Egypt’s Disouq concession according to RWE Dea Egypt. The project, located in the Nile Delta, encompasses the development of seven gas fields in the area to produce a total of approximately 11.4 Bcm of gas and is the first natural gas project to be brought into production by RWE Dea as operator in Egypt.

The gas from the Disuoq has been delivered to the Egyptian national grid. Production is expected to ramp-up progressively during the commissioning period to reach a rate of around 1.4 Mmcm/d of gas. A peak production level of around 4 to 4.5 Mmcm/d is expected to be achieved in mid-2014 when an additional central treatment plant will start producing.

RWE said that during the initial project phase, four of a total of seven gas fields will be brought into production by July 2014. The gas produced from the North West Khilala (NWK) field will initially be collected in a temporary processing facility, where it will be separated into dry gas and condensate. From the facility operated by Suez Oil Company (SUCO), the gas will be fed into the Egyptian gas supply grid via the state-owned GASCO pipeline system.

During H1 2014, the Disouq Central Treatment Plant (DCTP), a dedicated facility set up by RWE Dea, will start production by receiving gas from the fields North Sidi Ghazy, North West Sidi Ghazy, and South Sidi Ghazy. After the shut down of the temporary processing facility the gas from the NWK field will be routed to the DCTP.

The DCTP has a processing capacity of 4.25 Mmcm/d of gas. The treated gas and the condensate are pumped by the DCTP into the national grid via two pipelines, each about 40 km in length. During the second project phase from July 2014 to the end of the year, further gas fields discovered by RWE Dea, including the Sidi Salem South East and the Disouq Fields, will be integrated into production.

“We plan to have all 16 wells in production by the end of 2014,” explains Maximilian Fellner, GM RWE Dea Egypt. “All members of the project teams in RWE Dea and SUCO, from exploration and construction of the gas treatment plant all the way through to pipeline installation and commissioning, have done an excellent job in order to achieve the production launch,” says Fellner.

The gas deposits in Disouq range from rock formations of the Pliocene era to the Messinian, with the lion’s share of gas reserves being found in the Messinian. RWE Dea plans to develop additional natural gas potential in the areas adjoining the reservoirs already discovered and belonging to the concession.

The Disouq concession is located in the Kafr el Sheikh Governerate, in Egypt’s gas-rich region of the Nile delta that reaches all the way to the Mediterranean.

“We look forward to taking up operations as a gas producer in Kafr el Sheikh and, within the scope of good neighborly relations, we will continue to work with our community to foster further development in the area we are active in,” said Fellner.

“We’re excited to be able to start production in this RWE Dea growth project,” says Dirk Warzecha, COO of RWE Dea AG. “We have until today produced oil as operator in the Gulf of Suez for almost 40 years and are now proud to be able to extend our long-term commitment in Egypt to include our own-operated gas production in Disouq.”

 


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