Khalda Petroleum has started production from the newly discovered Watada deep natural gas exploration well in Egypt’s Western Desert at an initial rate of 40 million cubic feet per day (mmcf/d). Natural gas flow from the well commenced on June 21, with full tie-in to the national natural gas grid scheduled before the end of July, according to a statement by the Cabinet.
Drilled to a depth of 15,000 feet, electrical logging at the Watada well indicated positive natural gas-bearing structures. Subsequent production testing confirmed commercial output at 40 mmcf/d. To expedite development, Khalda Petroleum constructed a 10-kilometer (km) production pipeline at an investment of $2.3 million, linking the well directly to existing infrastructure.
The discovery advances the Ministry of Petroleum and Mineral Resources’ (MoPMR) strategy to boost domestic hydrocarbon production and fast-track the development of new discoveries. It also reinforces ongoing exploration efforts in the Western Desert and strengthens Egypt’s domestic natural gas supply.
Khalda Petroleum operates as a joint venture between the Egyptian General Petroleum Corporation (EGPC) and US-based Apache Corporation. The Watada discovery builds on Khalda Petroleum’s recent operational progress in the Western Desert, where the company added more than 10,000 barrels per day (bbl/d) of crude oil and condensates in June 2026.