[Egypt] Eni embarks on the second production unit of Zohr gas project
01-05-2018 13:34:00 | by: Bob Koigi | hits: 1999 | Tags:

Italian multinational oil and gas company Eni has announced the start-up of the second production unit of the Zohr project in Egypt, which will increase installed capacity by 400 Million standard cubic feet per day, just 4 months after the field’s start-up.

Zohr now has a capacity of 800 Million standard cubic feet per day equivalent to 150,000 barrel of oil equivalent per day.

The production ramp-up is planned to continue, with the same exceptional performance, in order to reach 1.2 bcfd in May 2018, 2  billion cubic feet per day by end 2018 and the production plateau in 2019.

The Zohr field, the largest gas discovery ever made in Egypt and in the Mediterranean Sea, is located offshore, within the Shorouk Block, some 190 km north of Port Said.

Zohr was discovered in August 2015, obtained the Development Lease approval in February 2016, and started the production in December 2017 with a time-to-market of 2.3 years.

The latest achievement reinforces the exceptional development path of Zohr, one of Eni’s seven record-breaking projects, which is playing a fundamental role in supporting Egypt’s wish to cease LNG imports in 2018.

Eni holds a 60 per cent stake in the Shorouk Block, Rosneft 30 per cent and BP 10 per cent. In March 2018, Eni agreed to sell a 10 per cent stake in the concession to Mubadala Petroleum.

The project is 2 executed by Petrobel, the operating company jointly held by Eni and the state corporation Egyptian General Petroleum Corporation (EGPC), on behalf of Petroshorouk, jointly held by Contractor (Eni and its partners) and the state company Egyptian Natural Gas holding Company (EGAS). Eni has been present in Egypt since 1954, where it operates through its subsidiary IEOC.

The company is the country's leading producer with equity of about 250,000 barrels of oil equivalent per day.