Energean takes investment decision on Egypt subsea tieback project

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Energean will invest nearly $235m in the project. Image credit: Zachary Theodore on Unsplash.

Energean has announced a final investment decision on the North El Amriya and North Idku (NEA/NI) concession subsea tieback project in offshore Egypt.

The NEA/NI project is expected to provide a significant boost to the company’s long-term production profile in the country.

Energean will make a total capital expenditure of nearly $235m in the project that is key part of its Egyptian portfolio.

A majority of the planned investment on the project is expected to be made in 2022.

UK-based global oil and gas company TechnipFMC has secured the engineering, procurement, installation and commissioning (EPIC) contract to deliver the project.

The NEA/NI project is expected to deliver first gas in the second half of 2022. The concession contains 49 million boe of 2P reserves, 87% of which is gas.

At peak production, the project is expected to produce approximately 90 mmscf/d plus 1 kbopd of condensates.

The NEA concession contains two discovered and appraised gas fields that include Yazzi and Python. The NI concession has four discovered gas fields, one of which is readied for development.

Energean stated: “The NEA/NI drilling campaign is expected to be integrated with a broader Abu Qir drilling campaign, providing synergies on capital expenditure.”

Recently, the company has also a taken a final investment decision on the Karish North gas development, offshore Israel.

The decision has been taken 21-months after the announcement of the discovery.

Production from the first well at Karish North is expected during the second half of 2023. It is expected to be up to 300 mmscf/d (approximately 3 Bcm/yr).