Cheiron has announced a new oil discovery in the Geisum & Tawila West Concession in the Gulf of Suez. The operations in the field are managed by the joint venture company PetroGulf Misr, on behalf of the Egyptian General Petroleum Corporation (50%) and the partners Cheiron -Pico and Kufpec (50%). The discovery was made through the exploration well north of Geisum North, GNN-11, and the well came across 165 feet of net high-quality vertical layers in the Nubian Formation dating back to the pre-Miocene era. This is the first time that the Nubian Crude Oil-bearing Formation has been found in the region. The concession, and the main reservoir produced in the field is located in the Nukhul Formation. The well was drilled through the recently installed early production facility in the north of North Geisum field and the well was successfully put on production at a rate of over 2,500 barrels per day. As a result of the new well and the successful drilling programme that has been conducted so far in the field, the total production of crude oil was approximately 23, 000 barrels per day, compared to about 4,000 barrels per day before the development of the North Geisum field. The well is the fourth well to be completed through the early production facilities. Three more wells can be drilled through the early production facilities and will be used to complete the current phase of the exploration drilling facilities and the development of the concession area. Moreover, Cheiron and Kufpec plan to drill an additional number of exploratory wells in the concession area and expand the north of North Geisum field (GNN) development.
