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Oil & Gas

United Oil & Gas reports another hit at Abu Sennan

ASD-2 is the eighth consecutive successful oil well at Abu Sennan

United Oil & Gas PLC (AIM:UOG) has reported more success from the drilling at its Abu Sennan licence, onshore Egypt, with the ASD-2 development well hitting 25.5mln of net oil pay across multiple reservoirs.

ASD-2, the first well of the 2022 drilling campaign at Abu Sennan, was drilled to a depth of 3,631m and hit oil across the Abu Roash (20m) and Bahariya reservoirs.

The net pay encountered in the Abu Roash-E reservoir was significantly above pre-drill expectations, UOG said.

ASD-2 has now been logged and will be tested before being brought on stream immediately through the existing facilities.

It is the eighth consecutive successful well at Abu Sennan since UOG acquired its 22% interest in the licence. Kuwait Energy Egypt is the operator.

Next to be drilled will be the ASV-1X exploration well, which has now been brought forward in the programme after technical assessment work.

UOG estimates that the ASV-1X structure has the potential to hold over 2.5 million barrels gross mean recoverable resources. The well is expected to spud in the coming weeks.

Brian Larkin, UOG’s chief executive, added: "We are really pleased with the result from the ASD-2 well, which provides a very positive start to the 2022 drilling campaign.

“Our production is highly leveraged to the current higher oil prices and oil/gas discoveries can be quickly brought on stream through existing facilities, generating immediate revenue for the company.

“There remains significant potential within the Abu Sennan licence, and we are looking forward to drilling the upcoming ASV-1X exploration well.”

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