El Hamra Oil Company is preparing to drill a new exploratory well in the company’s acquisition area in North East El Alamein, located in the Western Desert field.

The drilling of this well is part of the company’s drilling program for the current fiscal year of 2010-2011.

El Hamra Oil is the joint venture company between the EGPC and American IPR.

The total investment of drilling the new AEB3x-2x well will cost $4 million. ElHamra is aiming to boost its production to reach 11200 barrels of crude oil per day.