BP Egypt has made a significant gas discovery in the Deepwater West Nile Delta area.
The Hodoa discovery is located in the West Mediterranean Deepwater, Nile Delta concession, some 80 km northwest of Alexandria. The WMDW-7 well was drilled to a depth of 6,350 m and is the first Oligocene deep water discovery in the West Nile Delta area, the company said in a statement.
BP operates and holds 80 per cent of the West Mediterranean Deepwater concession with German exploration and production company RWE Dea, holding the remaining 20 per cent. Hodoa was drilled by the Pride North America Semi-Sub rig, at a depth of 1,077 m.
Mike Daly, BP’s executive vice president of Exploration said: “The Hodoa discovery further demonstrates the great potential of the deep reservoirs in the Nile Delta.”
Hesham Mekawi, president and general manager of BP Egypt, commented: “Hodoa is an important discovery which builds upon BP’s previous successes in the West Nile Delta. This discovery further reinforces the leadership role played by BP in Egypt and its ongoing commitment towards the development of Egypt’s future gas business.”
The news comes as the British oil major is on a divestment drive of some of its southern African assets.
On Monday it announced that it had agreed to sell its fuels marketing businesses in Namibia, Botswana and Zambia to Puma Energy. It also announced that it has agreed to sell its 50 per cent interest in each of BP Malawi and BP Tanzania to Puma Energy, subject to the pre-emption rights of its co-shareholders (Press Corporation Limited in Malawi and the Government of Tanzania in Tanzania).
The decision to divest these businesses, which was first announced by BP in March 2010, followed a strategic review of BP's southern African refining and marketing businesses. The sales do not include BP's refining and marketing businesses in Mozambique or South Africa.