lastnews

Cheiron is pleased to announce that the ED-2X well has been put on production on 26 September 2023 after the commercial discovery of gas on the East Damanhur block in the Nile Delta at the end of 2022. Cheiron acquired a 40% working interest in the block in October 2020 through an exploration farm-in, the Concession partners are Wintershall Dea (the operator, with a 40% working interest) and INA (20% working interest). The gas well was promptly connected to the production infrastructure of the nearby Disouq field, which is also operated by Wintershall Dea, and has spare gas processing and export capacity.

Cheiron is pleased to announce that it has made a new oil discovery in the Geisum and Tawila West Concession (“the Concession”) in the Gulf of Suez. Cheiron (through its PICO GOS affiliate) holds a 60% working interest and operatorship in the Concession, with Kufpec holding the remaining 40% interest (together, the “Partners”). The field operations are managed by the PetroGulf Misr Joint Operating Company on behalf of EGPC (50%) and the Partners (50%). The discovery was made by the GNN-11 exploration well, which was drilled into a fault block to the east of the GNN oil field development. The well encountered 165 feet of good quality vertical net pay in the Pre-Miocene Nubia formation and this is the first time the Nubia has been found to be oil bearing in the GNN area of the Concession. The producing reservoir in the main GNN field is in the Nukhul formation. The well was drilled from the recently installed GNN Early Production Facility (the “EPF”) and has been successfully placed on production at a rate of over 2,500 bopd. As result of the new well, and the successful drilling campaign conducted to date on the field, the gross oil production from […]

Cheiron Energy, the largest independent Egyptian oil and gas E&P company, is pleased to announce that the Early Production Facility (“EPF”) for the GNN oil field in the Gulf of Suez has been brought on stream. The GNN field is located in the Geisum and Tawila West Concession (“the Concession”) in which Cheiron (through its PICO GOS affiliate) holds a 60% working interest and Operatorship, with Kufpec holding the remaining 40% interest. The EPF has been installed in the central area of the field and includes a conductor support platform, a mobile offshore production unit and a 10-inch oil export pipeline, tied back to the existing Geisum Star production complex. The first well to come on stream across the EPF was GNN-6, which is currently producing circa 4,200 bopd. This well will be followed by the completion of two additional predrilled wells, GNN-3 and GNN-8, over the next few weeks and, subsequently, up to 4 additional wells will be drilled from the facilities. To date, the southern area of the field has been appraised and developed using extended reach drilling techniques, which has enabled the completion of 3 production wells from the existing Geisum field GD platform, with a further […]

Cheiron, is pleased to announce that it has recently sanctioned the West El Burullus (“WEB”) offshore gas field development in the shallow waters of the Mediterranean Sea. Cheiron operates and holds a 100% working interest in the WEB Concession and the project will be executed through Cheiron’s PetroWeb Joint Venture company. The development comprises two gas fields, namely, WEB and the nearby Papyrus field, and will involve the installation of two new platforms and the drilling of 6 wells and the recompletion of one existing well. The produced gas will be exported via a new 14 inch, 35 kilometer pipeline tied back to the West Delta Deep Marine gas reception plant located on the Mediterranean coast close to Alexandria. The fields are expected to produce at a plateau rate of 150 mmcfpd and have independently audited 2P reserves of circa 240 billion cubic feet of gas equivalent.

Cheiron is pleased to announce a gas discovery in the ED-2X well drilled on the East Damanhur Concession, onshore in the Nile Delta.  Cheiron acquired a 40% working interest in the block in October 2020 through an exploration farm-in and the other owners are the Wintershall Dea (the operator, with a 40% working interest) and INA (20% working interest). The exploration activities under the new Concession Agreement commenced in November 2021 and the new gas discovery was made with the second exploration well to be drilled as part of a multi well campaign. The ED-2X well encountered 43 meters of gas bearing reservoir with a gas-water contact at 2627 meters and has been successfully flow tested at a rate of 15 million standard cubic feet per day. The well was drilled around three kilometers north of the existing Disouq field, which is also operated by Wintershall Dea, and have spare gas processing and export capacity. The partnership is currently evaluating options to tie-back the ED-2X well to the facilities on a fast-tracked development schedule.

As part of Cheiron’s efforts to reduce GHG emissions across its operations, it is working closely with its various Joint Operating Companies (“JOCs”) to identify and implement investment opportunities specifically focussed on emissions reductions. Cheiron has also set ambitious goals to encourage these initiatives, including a target to reduce its GHG emissions intensity (tCO2eq/toeq) 25% by 2025 and has also committed to eliminate routine flaring as soon as practical and in any event no later than 2030, in line with the World Bank Zero Flaring Initiative. Projects are ongoing across all the company’s JOCs to replace diesel with gas as the fuel for power generation both offshore and onshore, where gas import schemes are being implemented in tandem with the replacement of existing diesel power generators with gas high efficiency, centralised gas power generators and electricity distribution systems. In Bapetco, the company’s largest JOC, along with the centralised gas power generation project and flare elimination, a multi year work program is being planned involving waste heat recovery systems, fugitive emissions identification and elimination, carbon capture and storage studies and the possible use of solar power and bio fuels to provide energy for the field operations.

Cheiron Petroleum Corporation (“Cheiron”) is pleased to announce that it has completed the acquisition of 50% of Shell’s upstream oil and gas assets in the Western Desert.  The remaining 50% of the interests will be purchased by Cairn Energy PLC (“Cairn”), Cheiron’s strategic partner. The acquisition confirms Cheiron position as a leading Egyptian oil and gas operator and, following its successful long term investment program in the Gulf of Suez, cements its position as a Western Desert producer. The acquired portfolio comprises over 20 producing fields, with their associated facilities and pipeline infrastructure, coupled with future development and exploration drilling opportunities. Cheiron will operate the producing and development concessions, leveraging its extensive mature fields development expertise, and Cairn will operate three of the exploration blocks, drawing on its international exploration experience. The field activities will continue to be managed by the Bapetco Joint Operating Company. The consideration paid for the interests is circa $323 million (net Cheiron) with additional contingent payments of up to $140 million, depending on oil price and exploration success. Funding for the acquisition has been provided by a syndicate of nine International and European, Middle Eastern and African Banks and Lenders and advisory support provided by […]

Cheiron is pleased to announce that it has acquired a 40% working interest in the East Damanhur Concession (the “Concession”) from Wintershall Dea, which will continue to operate the Concession, and INA-Industrija nafte, d.d. has acquired the remaining 20%. The Concession is located in the western region of the onshore Nile Delta, close to Cheiron’s West El Burullus offshore development lease in the shallow waters of the Mediterranean Sea. The acreage is relatively underexplored and has a material level of prospective gas resources and a high chance of exploration success due to the presence of direct hydrocarbon indicators on the seismic data. The partnership expects to commence an exploration drilling campaign on the Concession in 2021, with the first three wells of the work program. Subsequently, in the event of exploration success, any new discoveries could be developed rapidly and cost effectively through the nearby Disouq production facilities, which are also operated by Wintershall Dea. David Thomas, Cheiron’s Chief Executive Officer, commented: “We are pleased to join Wintershall Dea and INA-Industrija nafte, d.d. in this promising new venture in region of the Nile Delta where Cheiron is seeking to establish a core business area. We are also looking forward to […]

Cheiron Petroleum Corporation (“Cheiron”), Egypt’s largest independent Exploration and Production company, is pleased to announce that it has agreed to purchase 50% of Shell’s upstream oil and gas interests in the Western Desert. The remaining 50% of the interests will be purchased by Cheiron’s strategic partner, Cairn Energy plc, a new entrant into the Egyptian upstream sector. Cheiron will operate the production and development concessions in the asset portfolio, using the experience gained over three decades of improving safety, production, reserves and cost management performance in its Egyptian fields. These are located onshore in the Western Desert and Nile Delta, and offshore in the Gulf of Suez and Mediterranean Sea. Cairn, a UK listed company with significant international experience and exploration expertise, will operate three of the exploration licenses. The field activities will continue to be managed by the Bapetco Joint Operating Company. The consideration to be paid for the interests is circa $323 million (net Cheiron) with additional contingent payments of up to $140 million (net Cheiron) depending on oil price and exploration success. The consideration will be subject to customary working capital adjustments for the period between the effective date of the transaction (1 January 2020) and the […]

Cheiron announces that the GNN-4 well, which was drilled to appraise the recent GNN oil discovery, has been completed and successfully tested at initial rates of over 2,000 bopd.  The well was drilled as a high angle wellbore from the existing Geisum D platform and has been placed on long term production using the existing field infrastructure. The discovery, which contains an estimated 260 MMbbls of oil in place, is located on the Geisum and Tawila West Concession (the “Concession”) in which Cheiron (through its PICO GoS affiliate) holds a 60% participating interest and operatorship and Kufpec a 40% participating interest. The Concession is managed by a Joint Operating Company owned by the Egyptian General Petroleum Company, Cheiron and Kufpec and called PetroGulf Misr (“PGM”) which is technically supervised by South Valley Egyptian Petroleum Holding Company. The Concession contains the mature Geisum oil field (with 32 active wells, extensive offshore infrastructure and onshore plant at Zeit Bay) which has been on production since the 1980s. GNN was discovered in July 2019 by the GNN-3 exploration well which was drilled in a separate fault block located to the north east of the main Geisum field. The discovery well encountered almost 500 […]