Egypt, Abu Sennan (22% non-operated working interest, operated by Kuwait Energy Egypt)

Oil production from the Abu Sennan Licence in H1 2023 averaged 1,051 bopd (net to United’s 22% working interest) with an additional 93 boepd net gas. The exit rate from the first half was 1,011 bopd net, plus 111 boepd net gas with Group working interest production forecast to average between 930 and 1,030 boepd for the full year 2023.

2023 Work Programme
Two development wells, ASH-8 and ASD-3, were drilled in the first half of the year. Both of these wells were successful and came onstream in March and May respectively. 

In parallel to the development drilling, a number of workovers have also been completed, and we have enhanced production from existing wells through low-cost interventions. Further workovers are planned as we continue through the second half of 2023.

After producing for a number of months at rates in excess of 2,800 bopd (616 bopd net) and producing 390,000 barrels to end of August, production from the ASH-8 well is now declining, and is currently producing at a flow rate of 601 bopd (132 bopd net). This decline is broadly in line with expectations and the performance of the other production wells in the ASH Field. Based on our previous experience of the field, the impact of the decline is expected to be partially mitigated by the installation of artificial lift in the well during H2, and by continued production-enhancing workover activity across the Abu Sennan Licence.

The results of ASD-3 significantly improved our understanding of the ASD field and has led to a significant increase in our in-place volumetric estimates for the field by 16% from 11.4 to 13.2 MMBO in the mid case. This well also had strong initial production rates which have now declined in line with expectations.

We continue to work with the operator and Joint Venture partners on initiatives including additional drilling, water injection, and stimulation to offset the natural production decline in the wells and re-instate production from temporarily shut in wells.

Additional drilling in 2H 2023 has now been agreed by the JV partners and is expected to commence in October with the drilling of the ASD-S-1X exploration well. This exciting exploration prospect lies to the south of the prolific ASD Field and is expected to take approximately 40 days to drill. The exploration well is targeting a gross mean in-place volume of 10.1 million barrels of oil in multiple stacked reservoir targets across the productive Abu Roash and Bahariya reservoirs.

Once ASD-S-1X has been completed, additional development drilling is planned and will likely target an undrained crestal area that has been identified on the ASH Field. Subject to rig availability, this well is expected to spud in Q1 2024.