12th Nov 2019 09:24
(Alliance News) - Oil & gas firm SDX Energy PLC said Tuesday it has started production from the South Disouq concession in Egypt, in which SDX has a 55% working interest.
SDX also said it has appointed interim Chief Executive Officer Mark Reid to the role on a permanent basis. Reid has been interim CEO since May, replacing Paul Welch, and prior to that was chief financial officer of SDX.
In addition, SDX has promoted Financial Controller Nicholas Box to chief financial officer, after three years as financial controller since 2016. Reid had been CFO before moving to interim CEO.
SDX said gas has been flowing through the South Disouq central processing facility since Thursday last week, with all four discovery wells hooked up to the facility and producing at their expected rates of between 8 and 15 million standard cubic feet per day.
Over the past three days, the facility has been operating as expected, achieving an average gross production rate of 23 million standard cubic feet per day of gas and 120 barrels per day of condensate, in line with company expectations.
Over the coming weeks, SDX will ramp up production with a view to achieving its targeted gross production rate of 50 million standard cubic feet equivalent per day.
All produced gas will be sold to the Egyptian national gas firm, EGAS at a fixed price of USD2.85 per thousand cubic feet.
"The company is pleased to announce the commencement of production at our South Disouq concession in Egypt. We would like to express our gratitude to EGAS and the Egyptian State for their continued support and to our main contractors, Petrojet and Expro, for their work in helping us achieve this important milestone," said CEO Reid.
"In addition, we are particularly grateful to Roger Wibrew and Amir Ezzat from SDX's Facilities team and to Mohamed Farid, SDX's country manager in Egypt, who have been integral in delivering this outcome for the company," Reid added.
Shares in SDX Energy - which is headquartered in London - were up 4.4% at 23.50 pence on Tuesday.
By Dayo Laniyan; [email protected]
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