AGIBA Petroleum Company said that it’s planning to drill a new exploratory well, Arcada-1x, located in its acquisition area ” Melehia Field” in the Western Desert. The initial stages of the drilling is expected to start within this month, and the volume of production will be announced later after the evaluation period to estimate the reserves of the well.

Mr. Ahmed Sakr, General Manager of Exploration at AGIBA, said in an exclusive statements to Egypt Oil & Gas, that the cost of investments reached up to $ 8 million for the current year, pointing that the depth of the new well is 15 thousand feet.

“The company is preparing to apply the development plan in 2011, which includes the initiation of drilling and exploration in its Western Desert concession,” Sakr added.

“We will also drill three wells in the Melehia field and in Ras Qattara block after finalizing the 3D Seismic Interpretation.”

Moreover, Sakr declared that his firm will increase the drilling activities and exploration projects in the Western Desert area if the prospect well operation met with success.

AGIBA is a joint venture operating company for exploring, drilling and producing hydrocarbons in Egypt, and the shareholders are The Egyptian Petroleum Corporation (EGPC) and the Italian  IEOC (Eni), Ocean Energy (Devon), LUKOIL and Ina Naftaplin as well as IFC.