SDX Energy has reported a new gas discovery made at its SD-4X well in the South Disouq concession in Egypt, according to Pipeline Oil and Gas Magazine.

The SD-4X well, drilled to a total depth of 7806 feet, encountered 89 feet of net conventional natural gas pay in the Abu Madi horizon. The find had an average porosity of 24% in the pay section. The well was drilled on the basis of having a similar quality, but thicker reservoir than the original SD-1X discovery well.

Testing of the well is expected to take place between 30 and 45 days after the drilling rig has moved. Assuming the tests are successful, SDX said it expects the well to be connected to the infrastructure in place adjacent to the SD-1X well.

Production is expected to begin late in Q4 2018.

“We had anticipated a thickening of the pay section as we moved away from the crest of the structure, and this has now been confirmed,” said Paul Welch, president and chief executive of SDX.

“We will now accelerate our development activity in the area. It’s our intent to establish production from both the South Disouq and Ibn Yunus areas before year end 2018. These results demonstrate the significant potential we see in this area.”

“In Egypt we have had three successes out of the four wells drilled to date with one well to go. I am looking forward to updating our shareholders on the well test results of the SD-4X, the spud of SD-3X and the progress we are making on our development activity in South Disouq,” Welch added.

SDX has a has a 55% working interest and operatorship in the concession.