United Oil & Gas PLC (UOG) will increase its production in Egypt to an average of 2,300 and 2,500 barrels of oil equivalent per day (bbloe/d) for H1 2021, while in 2020 its production reached 2,195 (bbloe/d), according statement issued by the company .

UOG CEO, Brian Larkin, stated that “2020 was a successful year for United, delivering an excellent operational and financial performance, despite a challenging commodity price environment and the global pandemic.”

Larkin also added that “United begins 2021 in strong position with a balanced portfolio, low-cost growing production, high quality reserves and a healthy balance sheet. The business is well placed to benefit from rising hydrocarbon prices but also well hedged to protect against volatility. Our fully funded, multi-well drilling programme in Egypt has begun with the result of the ASH-3 well expected shortly. This low-risk well has the potential to build on the successes of 2020 by delivering increased production and reserves.”

Additionally, the company plans to spend $4.7 million in Egypt on two firm wells, five workovers and facilities upgrades in 2021. The company also will increase its reserves following the success of El Salmiya 5 and ASH 2 wells in 2020.

It should be noted that the UOG’s total revenue in 2020 was $9-9.2 million with a realised oil price of $37.7 per barrel (bbl).