Business
UAE Dana Gas launches $100mn gas investments programme in Egypt
UAE Dana Gas launches $100mn gas investments programme in
About this update from Dana Gas Pjsc
[{"type":"text","content":"UAE-based energy company Dana Gas has launched a major $100mn\ninvestment programme aimed at enhancing local gas production and\nexpanding reserves, Hapi reported on July 23, citing a\nstatement from the company. \nDana announced promising preliminary results from its appraisal\nwell Begonia-2 and started recompletion operations at the Balsam-3\nwell, both located in Egypt’s onshore Nile Delta concession. \nThe Begonia-2 well is the first appraisal in the Begonia\ndevelopment area. Initial drilling results indicate the presence of\napproximately 9bn cubic feet (bcf) of natural gas, with potential\nfor further increases. The well is expected to contribute around\n5mn cubic feet per day to the company’s output.\nThe success forms a main part of Dana Gas’s broader investment\nstrategy, which includes drilling 11 new wells over the next two\nyears. The company aims to increase recoverable reserves by around\n80 bcf.\nMeanwhile, Dana has begun recompletion operations at the\nBalsam-3 well, targeting different geological layers. The well,\nreactivated using a rig from EGYPTCO, had previously been sealed.\nEstimated reserves from Balsam-3 stand at 4 bcf, with expected\ndaily production of 3mn cubic feet, helping to reduce the risks\nassociated with drilling new exploration wells.\nCEO Richard Hall, said these developments represent a strong\nstart to the company’s ambitious programme. He referred to he\npositive impact of the recent integration agreement with EGAS,\nwhich provided new concession areas with favourable financial\nterms, and noted that regular payments from the Egyptian government\nhave supported continued investment. \nThe Egyptian government has paid an additional $1bn in overdue\npayments to foreign oil companies in the first week of July,\naccording to Al Sharq. The latest tranche brings total\nrepayments since June 2024 to $8.5bn. The remaining $2.5bn in\narrears is scheduled to be cleared by the end of September 2025\nunder the government's repayment plan.© 2025 bne IntelliNews, source Magazine","length":2473,"tagName":"div"}]