New Production for Egyptian Domestic Market to start after BG, BP Agreement

BG Egypt today announced the signing of a tie-in agreement with BP Egypt and RWE DEA on 03 March 2015 that will enable the increase of the supply of energy to the Egyptian domestic network through the utilization of BG Egypt ‘s comprehensive infrastructure.

Libra and Taurus fields, located largely within BP/RWE Dea’s North Alexandria Concession, offshore the Nile Delta, will be connected to BG Egypt and partner PETRONAS West Delta Deep Marine (WDDM) offshore infrastructure. Gas from Libra-Taurus will be processed at the BG Egypt -operated WDDM onshore facilities, and is expected to start producing in mid-2017 at rates of around 600 mmscfd.

A portion of the Libra field (the P80 channel) straddles the boundary between the North Alexandria and the WDDM concessions. Production from this area will be regulated under a unitisation agreement that was also signed today.

Commenting on the agreements, BG Egypt President Arshad Sufi said: ” BG Egypt is working closely with the Government of Egypt and our partners to enable the increase of third party gas supply into the country, a reflection of our appreciation of the country’s need for energy. These agreements will enable the development and delivery of additional gas volumes to Egypt’s domestic gas market, through the utilization of BG Egypt ‘s and our upstream partners’ onshore and offshore infrastructure.”