The discovery, which contains an estimated 260 million bbl of oil in place, is located in the Geisum and Tawila West concession, in which Cheiron (through its PICO GoS affiliate) holds a 60% participating interest and operatorship and Kufpec a 40% participating interest.
The concession is managed by a joint operating company owned by the Egyptian General Petroleum Co., Cheiron and Kufpec and called PetroGulf Misr (PGM), which is technically supervised by South Valley Egyptian Petroleum Holding Co. The concession contains the mature Geisum oilfield (with 32 active wells, extensive offshore infrastructure and onshore plant at Zeit Bay) which has been on production since the 1980s.
GNN was discovered in July 2019 by the GNN-3 exploration well which was drilled in a separate fault block located to the north east of the main Geisum field. The discovery well encountered almost 500 ft of good quality net oil pay in the Nukhul formation and, given the very encouraging well results, a 3 well early production and reservoir appraisal drilling programme is underway.
The GNN-4 well will be followed by two further wells to be drilled from the D platform in the southern area of the discovery. Subsequently, the development focus will shift to the northern area of the discovery where additional drilling is planned, along with the tie-back of the GNN-3 well for early production. The full field development will leverage the existing Geisum facilities to accelerate production and minimise costs and will also involve the installation of new platform and pipeline infrastructure.
The discovery is the first to be made in the Nukhul formation in the Geisum area and will open up further exploration potential, both within the concession and in the neighbouring acreage. It comes after the implementation of an extensive, multi-year exploration and development campaign by PICO GoS and its Partners, designed to maximise the economic reserves recovery from the concession.
Read the article online at: https://www.oilfieldtechnology.com/drilling-and-production/23062020/first-oil-achieved-from-gulf-of-suez-field/