Canadian Sea Dragon Energy’s (SDX) General Manager in Egypt, Ahmed Farid Moaaz, stated that the company will increase its investment budget in South Disouq concession to reach $17m instead of the original $9m that was specified in the signed agreement with the Egyptian Ministry of Petroleum, reported Al Mal News.
The drilling of the first well in the concession is expected to start before the end of March 2017. However, SDX is open to drill more wells depending on the results of geological surveys conducted at the area. The company contracted Canada’s Geophysica Torun to perform seismic analysis for the South Disouq concession to decide if it is promising to excavate.
SDX’s agreement with the ministry stated that only one well will be drilled in the first phase of the project. However, Moaaz said that SDX is ready to drill more wells if the first one yields positive results and there was enough time left of the licensing agreement to allow for the drilling of extra wells.
Moaaz added that SDX, a foreign oil exploration and development company operating in Egypt, expects to boost it’s current oil production, that stands between 1.800 and 2,000b/d, once the new concession is added to production. The company currently holds the rights to four concessions in Egypt with South Disouq, North West Gemsa, South Ramadan, and Meseda.