A source with Gulf Of Suez Petroleum Company (GUPCO) stated to Egypt Oil&Gas that the company plans to increase its production in fiscal year 2017/2018 from its EDFO concessions, Balayeem concessions and Tour Sinai concessions.
The company plans to increase its crude oil production from 76,000b/d to 80,000b/d through drilling a number of development wells and exploratory wells.
Moreover, the source pointed out that GUPCO followed a strategy to rationalize its costs and save more than $125m during fiscal year 2015/2016. This plan was executed through negotiating with supply companies and contractors to get discounts. The company extended the strategy by using existing materials and scheduling the usage of drilling rigs in order to reduce project costs and rehabilitate offshore platforms.
In related news, an official at the GUPCO had stated to Egypt Oil&Gas that the company had allocated $538m investments in the new budget of fiscal year 2016/2017. The company would use the $538m in drilling a number of new wells and in renovating aging infrastructure.