Petroceltic International's joint venture with Edison International Spa has been awarded the North Port Fouad Block, in the Egyptian Natural Gas Holding Company 2013 International Bid Round.
North Port Fouad (Block 7), is offshore the Nile Delta and lies to the north of, and immediately adjacent to, the North Thekah Block, which was awarded to a Petroceltic/ Edison joint venture in 2013. The combined area of both licences is more than 7000sq km.
"There have been no wells drilled on the North Port Fouad block to date but regional and seismic evidence indicates that the proven Nile Delta Oligocene and Levantine Basin Miocene plays are likely to be present," says Petroceltic.
"Major hydrocarbon discoveries have been reported in both plays in recent years."
Petroceltic has a 50% non-operated interest in North Port Fouad, which has an initial 3-year term and is extendable up to a maximum duration of eight years. The firm work program commitment in the initial 3-year term comprises the acquisition of 1000sq km of 3D seismic data. There is no well obligation in the first licence period.
It is expected that the new licence will be formally awarded in early 2015 following ratification and finalisation of the Production Sharing Contract.
Brian O’Cathain, Petroceltic’s Chief Executive, said: "We are delighted to have been awarded the North Port Fouad Block which, together with last year’s North Thekah award, gives Petroceltic access to a substantial acreage position in the outer Nile Delta and Levantine Basin plays and significantly enhances our Egyptian exploration portfolio. These blocks are located in an area of the Mediterranean which has yielded several world class Oligocene and Miocene discoveries in recent years. Furthermore, the award of the North Port Fouad block continues with our strategy of opportunistic organic growth in territories where we have existing operations, knowledge and experience.
Earlier this week, RWE Dea announced it had been awarded two blocks offshore Egypt. Read more here