Al Fanar Petroleum is preparing to drill a new exploratory well, NGUP1 filed, in its acquisition area in North July concession  during the current fiscal year of 2010-2011 after conducting the needed exploration studies.

"The total investments of the exploratory well are estimated by $24 million," said Ashraf Orabi, Assistant  Exploration Manager at Al Fanar Company, to Egypt Oil & Gas newspaper.

Orabi added that his company is going to work on drilling more exploratory and development wells if the studies showed promising results.

He also said that the company’s production plan for the financial year 2010-2011 is aiming to reach 8000 barrels of oil per day.

It’s worth mentioning that Al Fanar is a joint venture company between EGPC and the American IPR, which currently produces 750,000 barrels of oil per day.