The Arabian Oil Company (AOC) is currently testing the productivity of the Northwest October-2 (NWO-2) well in the northern Gulf of Suez. The primal results indicate promising figures of oil and gas, which confirms the reserves estimated earlier at the Northwest October-1 (NWO-1) well.
It’s worth mentioning that The Egyptian General Petroleum Corporation (EGPC) and AOC inked the formal production-sharing contract of the Northwest October block back in 2005. AOC established AOC Egypt Petroleum Company (AEPCO) in October 2008 as a wholly owned subsidiary to move on with the project, and production is expected to be commenced by May 2012. EGPC has a 50% stake in the block and AOC holds the remainder.
The value of NOW-2 reserve is expected to be announced during this month.