1. Home
  2. News and insights
  3. Press releases
  4. BP starts gas production from the second stage of Egypt’s West Nile Delta development

BP starts gas production from the second stage of Egypt’s West Nile Delta development

Release date: 11 February 2019

  • Second stage of West Nile Delta project starts up
  • Peak production expected to be ~700 million cubic feet of gas per day
  • This Egyptian project is the second upstream major project to come onstream for BP in 2019
West Nile Delta – Giza / Fayoum, Egypt

BP today announced first gas production from the second stage of its West Nile Delta development offshore Egypt.

 

The project, which produces gas from the Giza and Fayoum fields, was developed as a deepwater, long-distance tie-back to an existing onshore plant.

 

The successful start up is the second in a string of new upstream major projects expected to be brought on line in 2019 for BP.

 

Bob Dudley, BP chief executive, said: “This important project start-up benefitted from the excellent working relationship between BP and the Egyptian government. We simply could not have delivered it successfully without the steadfast support of the Minister of Petroleum, his excellent team and the entire government.

 

“With the second stage of West Nile Delta now online, BP has now safely brought 21 new upstream major projects into production over the last three years, keeping us on track to deliver 900,000 barrels of oil equivalent per day by 2021.”

 

"This important project start-up benefitted from the excellent working relationship between BP and the Egyptian government. We simply could not have delivered it successfully without the steadfast support of the Minister of Petroleum, his excellent team and the entire government."
 
"With the second stage of West Nile Delta now online, BP has now safely brought 21 new upstream major projects into production over the last three years, keeping us on track to deliver 900,000 barrels of oil equivalent per day by 2021."

 

Bob Dudley, group chief executive

The West Nile Delta development includes a total of five gas fields across the North Alexandria and West Mediterranean Deepwater offshore concession blocks. It was originally planned as two separate projects, but BP and its partners realized the opportunity to deliver it in three stages, accelerating delivery of gas production commitments to Egypt.

 

Stage one of the project, which started producing in 2017, included gas production from the first two fields, Taurus and Libra. 

 

The Giza and Fayoum development, which includes eight wells, is currently producing around 400 million cubic feet of gas per day (mmscfd) and is expected to ramp up to a maximum rate of approximately 700 mmscfd.

 

The third stage of the West Nile Delta project will develop the Raven field. Production is expected in late 2019.

 

Hesham Mekawi, regional president, BP North Africa, added: “We are proud to have worked with the Egyptian government to deliver this multi-phase, complex project, which plays an important role in both Egypt’s gas supply and BP’s strategy. Our story in Egypt now stretches back for more than half a century and, thanks to projects like this, it has a bright future. Production from Giza and Fayoum will sustain local energy supply and keep us on track to triple our net production from Egypt by 2020.”

 

When fully onstream in 2019, combined production from all three phases of the West Nile Delta project is expected to reach up to almost 1.4 billion cubic feet per day (bcf/d), equivalent to about 20% of Egypt’s current gas production. All the gas produced will be fed into the national gas grid.

 

BP has an operating stake of 82.75% in the development.

 

The start-up announced today in Egypt is the second major project for BP in 2019, following the Gulf of Mexico’s Constellation development, which BP has a 66.6% non-operated stake in.

 

Separately, the Atoll Phase One project started-up in 2018.  After almost one year of production, Atoll continues to produce 350 million cubic feet per day from three wells, feeding the country’s national grid. A fourth well will be drilled later in 2019 to underpin the deliver of the field’s recoverable resources.

Further information

 

Contacts

 

BP press office, London: +44 (0)20 7496 4076, bppress@bp.com

Notes to editors

 

BP in Egypt

 

  • BP has a long and successful track record in Egypt stretching back for over 55 years with investments of more than $35 billion, making BP one of the largest foreign investors in the country.
  • BP’s business in Egypt is primarily in oil and gas exploration and production. BP is working to meet Egypt’s domestic energy market growth by actively exploring in the Nile Delta and investing to add production from existing discoveries.
  • To date, BP Egypt, in collaboration with the Gulf of Suez Petroleum Company (GUPCO), BP’s joint venture company with the Egyptian General Petroleum Company (EGPC), has produced almost 40% of Egypt’s entire oil production, and currently produces almost 10% of Egypt’s annual liquids production.
  • BP also currently produces close to 60% of Egypt's total natural gas consumption through its joint ventures the Pharaonic Petroleum Company (PhPC) and Petrobel with EGPC/EGAS and partners.
  • BP has also made a series of discoveries in Egypt in recent years including Satis and Qattameya.
  • In December 2018, BP acquired from Eni a 25% participating interest in the Nour North Sinai concession area offshore Egypt.

Cautionary statement

 

In order to utilize the ‘safe harbor’ provisions of the United States Private Securities Litigation Reform Act of 1995 (the ‘PSLRA’), BP is providing the following cautionary statement. This press release contains certain forward-looking statements – that is, statements related to future, not past events and circumstances – which may relate to one or more of the financial condition, results of operations and businesses of BP and certain of the plans and objectives of BP with respect to these items. These statements are generally, but not always, identified by the use of words such as ‘will’, ‘expects’, ‘is expected to’, ‘aims’, ‘should’, ‘may’, ‘objective’, ‘is likely to’, ‘intends’, ‘believes’, ‘anticipates’, ‘plans’, ‘we see’ or similar expressions. Actual results may differ from those expressed in such statements, depending on a variety of factors including the risk factors set forth in our most recent Annual Report and Form 20-F under “Risk factors” and in any of our more recent public reports.

This document contains references to non-proved resources and production outlooks based on non-proved resources that the SEC's rules prohibit us from including in our filings with the SEC. U.S. investors are urged to consider closely the disclosures in our Form 20-F, SEC File No. 1-06262.

Our most recent Annual Report and Form 20-F and other period filings are available on our website at www.bp.com, or can be obtained from the SEC by calling 1-800-SEC-0330 or on its website at www.sec.gov.