Energean Oil and Gas Company announced the Final Investment Decision on North El Amriya (NEA) and North Idkunea concession (NI) subsea project in offshore Egypt.
The NEA concession contains two discovered gas fields Yazzi and Python, while the NI concession contains four discovered gas fields. The NEA and NI will deliver first gas in H2 2022 with 49 million barrel of oil equivalent (bbloe) of 2P reserves with expected production to be approximately 90 million standard cubic feet per day (mmscf/d), 87% of which is gas, in addition to 1,000 barrel of condensates per day.
As per the statement, the NEA and NI project will provide Egypt with additional cost efficiencies and strategic benefits. In addition, the gas will be sold at $4.6 mmBTU when Brent prices are above $40 per bbl. The total capital expenditure will be about $235 million, mostly to be incurred in 2022, while TechnipFMC has been awarded the EPIC contract to deliver the project.
It is worth noting that it is anticipated that the NEA and NI drilling campaign will be combined with a boarder Abu Qir drilling campaign, providing capital expenditure synergies.