{"id":10839,"date":"2021-09-07T18:30:47","date_gmt":"2021-09-07T18:30:47","guid":{"rendered":"https:\/\/www.oilnewskenya.com\/?p=10839"},"modified":"2021-09-07T18:30:47","modified_gmt":"2021-09-07T18:30:47","slug":"egypt-united-oil-and-gas-provides-operations-update","status":"publish","type":"post","link":"https:\/\/www.oilnewskenya.com\/index.php\/egypt-united-oil-and-gas-provides-operations-update\/","title":{"rendered":"EGYPT: United Oil and Gas Provides Operations Update"},"content":{"rendered":"<p class=\"cp\"><strong><span class=\"bz\">Production Update<\/span><\/strong><\/p>\n<p class=\"co\"><span class=\"cc\">H1 2021 production from the seven producing fields which make up the Abu Sennan licence \u00a0net to the Company&#8217;s working interest averaged 2,730 boepd \u00a0in line with full-year guidance of 2,500 to 2,700\u00a0 boepd. \u00a0<\/span><\/p>\n<p class=\"cq\"><span class=\"ca\">The ASH field, which currently has three wells in production has performed exceptionally, with over 3 million barrels gross produced since it came on stream, representing c. 60% of oil production on the Abu Sennan licence since the start of 2020. Since early July the proportion of water to oil being produced has increased on all three producing wells, \u00a0particularly on ASH-2, where it has increased at a faster rate than expected. The increase in water cut has been accompanied by an associated drop in production from the ASH field.<\/span><\/p>\n<p class=\"cq\"><span class=\"ca\">\u00a0<\/span><span class=\"ca\">The\u00a0 joint venture partners have performed a number of operations to investigate options for controlling the water-cut and stabilising production, including looking at the effect of differing choke sizes, shutting in various perforated intervals, and running production logging tests. The JV \u00a0partners are still in the early days of monitoring the performance of the wells since the interventions were performed and are continuing to consider other options that could help stabilise \u00a0the decline.\u00a0<\/span><span class=\"ca\">\u00a0<\/span><\/p>\n<p class=\"cq\"><span class=\"ca\">The other six fields on the Abu Sennan licence are entirely unaffected by this and are producing \u00a0in line with our expectations. As a result of the lower oil production from the ASH field, the Company has revised its full year guidance for the Abu Sennan \u00a0licence from 2,500-2,700 to 2,100-2,300 boepd. \u00a0Production from the Abu Sennan licence as at 4 September was \u00a01,817 boepd net to the Company&#8217;s working interest.<\/span><span class=\"ca\">\u00a0<\/span><\/p>\n<p class=\"a\"><span class=\"bw\">The JV partners are assessing the impact this may have on the ASH field reserves and resources, which represent 36% of the Abu Sennan licence oil reserves at end 2020. The annual independent reserves report will be completed at the end of December and \u00a0will be published in our full year results.<\/span><span class=\"bw\">\u00a0<\/span><\/p>\n<p class=\"cp\"><strong><span class=\"bz\">Abu Sennan 2021 Drilling Program Update<\/span><\/strong><\/p>\n<p class=\"co\"><span class=\"cc\">As previously announced, the ASX-1X exploration well commenced drilling on\u00a014 August 2021. The ASX-1X exploration well is located near the recent \u00a0commercial discovery at ASD-1X. This well is making good progress against the planned schedule, with the primary reservoir targets expected to be reached within the next two weeks.\u00a0<\/span><\/p>\n<p class=\"co\"><span class=\"cc\">As a result of the successful drilling program in 2021 to date, JV partners now anticipate that a further development well will be added to the 2021 drilling programme. This is testament to the confidence the JV partners have in the asset and in the outlook for commodity prices. Drilling costs associated with drilling the development well will be funded from operating cashflow.<\/span><\/p>\n<p class=\"co\"><span class=\"cc\">\u00a0<\/span><\/p>\n<p class=\"cp\"><span class=\"bz\">Brian Larkin\u00a0CEO commented:<\/span><\/p>\n<p class=\"co\"><span class=\"cc\">&#8220;The Abu Sennan licence has performed exceptionally since we acquired the asset. Whilst the increase in water cut at ASH-2 and the resulting impact on our production guidance is disappointing<\/span><span class=\"cc\">, we will continue to work with the JV partners\u00a0<\/span><span class=\"cc\">to identify and implement the best long-term solution. \u00a0<\/span><\/p>\n<p class=\"co\"><span class=\"cc\">We are pleased to add a further well to our 2021 drilling program, in addition to the already drilling ASX-1X exploration well. The continued investment in the Abu Sennan licence by \u00a0the JV partners speaks to the potential which exists within the concession and we look forward to updating shareholders as we receive further results.<\/span><\/p>\n<p class=\"co\"><span class=\"cc\">Our low-cost production base continues to deliver positive \u00a0operational cashflow, and \u00a0this, combined with recently announced portfolio management initiatives, ensures that United\u00a0 remains in a strong position to execute our strategy&#8221;<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Production Update H1 2021 production from the seven producing fields which make up the Abu Sennan licence \u00a0net to the Company&#8217;s working interest averaged 2,730 boepd \u00a0in line with full-year &hellip; <a href=\"https:\/\/www.oilnewskenya.com\/index.php\/egypt-united-oil-and-gas-provides-operations-update\/\" class=\"more-link\">Read More<\/a><\/p>\n","protected":false},"author":24,"featured_media":8247,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"jetpack_post_was_ever_published":false},"categories":[7442,7446,11],"tags":[8712,9080,7655,9487,8878],"class_list":["post-10839","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-countries","category-north-africa","category-top-news","tag-abu-sennan-licence","tag-asd-1x","tag-ash-field","tag-asx-1x-exploration-well","tag-united-oil-and-gas","entry"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2020\/06\/Egypt-Abu-Sennan.jpg?fit=750%2C406&ssl=1","jetpack_shortlink":"https:\/\/wp.me\/p5JWkQ-2OP","jetpack-related-posts":[{"id":12876,"url":"https:\/\/www.oilnewskenya.com\/index.php\/egypt-united-oil-gas-provides-abu-sennan-licence-update\/","url_meta":{"origin":10839,"position":0},"title":"EGYPT: United Oil &#038; Gas Provides Abu Sennan licence Update","author":"","date":"November 28, 2022","format":false,"excerpt":"ASH-4 well update As previously announced, ASH-4, a step-out development well in the ASH field, encountered 20 metres of net pay through the primary Alam El Bueib (AEB) reservoir target. Preliminary well-test results indicated average flow rates of 1,325 bopd and 1.8 mmscf\/d (c. 1,685 boepd gross; 371 boepd net\u2026","rel":"","context":"In &quot;Countries&quot;","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2022\/09\/Egypt-Abu-Sennan.png?fit=874%2C581&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2022\/09\/Egypt-Abu-Sennan.png?fit=874%2C581&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2022\/09\/Egypt-Abu-Sennan.png?fit=874%2C581&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2022\/09\/Egypt-Abu-Sennan.png?fit=874%2C581&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":9504,"url":"https:\/\/www.oilnewskenya.com\/index.php\/united-oil-and-gas-sign-rig-contract-for-the-ash-3-well\/","url_meta":{"origin":10839,"position":1},"title":"United Oil and Gas Sign Rig Contract for the ASH-3 well","author":"","date":"December 4, 2020","format":false,"excerpt":"United Oil & Gas PLC offers an update on the Abu Sennan Licence in Egypt (United 22% working interest), including the signing of the rig contract for the ASH-3 well. \u00a0 The EDC-50 rig has a history of successful drilling in the Western Desert. It has been contracted for a\u2026","rel":"","context":"In &quot;Countries&quot;","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2020\/06\/Egypt-Abu-Sennan.jpg?fit=750%2C406&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2020\/06\/Egypt-Abu-Sennan.jpg?fit=750%2C406&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2020\/06\/Egypt-Abu-Sennan.jpg?fit=750%2C406&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2020\/06\/Egypt-Abu-Sennan.jpg?fit=750%2C406&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":13201,"url":"https:\/\/www.oilnewskenya.com\/index.php\/united-oil-and-gas-provides-trading-operations-update-guidance-for-2023\/","url_meta":{"origin":10839,"position":2},"title":"United Oil and Gas Provides Trading &#038; Operations Update &#038; Guidance for 2023","author":"","date":"January 26, 2023","format":false,"excerpt":"Egypt, Abu Sennan licence (22% working interest) Full year 2022 production averaged 1,312 boepd net (1,137 bopd oil and 175 boepd gas), in line with revised production guidance of 1,300-1,325 boepd. 2022 Egypt work programme The 2022 work programme consisted of three development wells, two exploration wells and eight workovers.\u2026","rel":"","context":"In &quot;Countries&quot;","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2022\/12\/Egypt-Abu-sennan-3-e1670314306748.png?fit=379%2C320&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":12820,"url":"https:\/\/www.oilnewskenya.com\/index.php\/egypt-ash-4-well-to-be-tied-into-the-existing-facilities-in-the-abu-sennan-licence\/","url_meta":{"origin":10839,"position":3},"title":"EGYPT: ASH-4 Well to be Tied into the Existing Facilities in the Abu Sennan licence","author":"","date":"November 16, 2022","format":false,"excerpt":"-\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0Preliminary test results from the ASH-4 well-test indicate a flow-rate of 2,101 bopd and 3 mmscf\/d (c. 2,700 boepd gross; 594 boepd net) from the Alam El Bueib (AEB) reservoir on a maximum 40\/64\" choke -\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0On a reduced, 32\/64\" choke, which is expected to be more representative of the producing\u2026","rel":"","context":"In &quot;Countries&quot;","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2022\/09\/Egypt-Abu-Sennan.png?fit=874%2C581&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2022\/09\/Egypt-Abu-Sennan.png?fit=874%2C581&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2022\/09\/Egypt-Abu-Sennan.png?fit=874%2C581&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2022\/09\/Egypt-Abu-Sennan.png?fit=874%2C581&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":9967,"url":"https:\/\/www.oilnewskenya.com\/index.php\/united-oil-and-gas-provides-ash-3-well-test-update\/","url_meta":{"origin":10839,"position":4},"title":"EGYPT: United Oil and Gas Provides ASH-3 Well Test Update","author":"","date":"February 23, 2021","format":false,"excerpt":"United Oil & Gas has provided the following update on the testing of the ASH-3 development well in the Abu Sennan concession, onshore Egypt. United holds a 22% non-operating interest in Abu Sennan, which is operated by Kuwait Energy Egypt.\u00a0 Highlights \u00b7\u00a0\u00a0\u00a0\u00a0Preliminary results from the ASH-3 well-test indicate a maximum\u2026","rel":"","context":"In &quot;Countries&quot;","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2020\/06\/Egypt-Abu-Sennan.jpg?fit=750%2C406&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2020\/06\/Egypt-Abu-Sennan.jpg?fit=750%2C406&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2020\/06\/Egypt-Abu-Sennan.jpg?fit=750%2C406&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2020\/06\/Egypt-Abu-Sennan.jpg?fit=750%2C406&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":12098,"url":"https:\/\/www.oilnewskenya.com\/index.php\/egypt-kuwait-energy-commences-production-from-the-asd-2-well\/","url_meta":{"origin":10839,"position":5},"title":"EGYPT: Kuwait Energy Commences Production from the ASD-2 well","author":"","date":"March 28, 2022","format":false,"excerpt":"United Oil & Gas PLC has announced an update on the ASD-2 development well in the Abu Sennan licence, onshore Egypt. United holds a 22% working interest in the licence, which is operated by Kuwait Energy Egypt.\u00a0 Highlights \u00b7\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0The ASD-2 well has commenced production at an initial rate of c.\u2026","rel":"","context":"In &quot;Countries&quot;","block_context":{"text":"Countries","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/countries\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2022\/03\/Egypt-Abu-Sennan-2.png?fit=591%2C472&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2022\/03\/Egypt-Abu-Sennan-2.png?fit=591%2C472&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2022\/03\/Egypt-Abu-Sennan-2.png?fit=591%2C472&ssl=1&resize=525%2C300 1.5x"},"classes":[]}],"jetpack_sharing_enabled":true,"jetpack_likes_enabled":true,"_links":{"self":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts\/10839","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/users\/24"}],"replies":[{"embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/comments?post=10839"}],"version-history":[{"count":1,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts\/10839\/revisions"}],"predecessor-version":[{"id":10840,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/posts\/10839\/revisions\/10840"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/media\/8247"}],"wp:attachment":[{"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/media?parent=10839"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/categories?post=10839"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.oilnewskenya.com\/index.php\/wp-json\/wp\/v2\/tags?post=10839"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}