Kuwait Energy
EL-12-211107
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US$11.3 MM p.a. fixed OPEX (US$9.0 MM p.a. in the Developed cases) plus
US$4.0 /Bbl variable OPEX (US$3.8 /Bbl in the Developed cases).
1.4
Area A
Area A is located in the Eastern Desert, adjacent to the coast of the Gulf of Suez and
comprises a group of five development areas and an exploration area (Figure 1.7), all
combined under a single “Contract of Production and Exploration Service Agreement”.
KE is the Operator and holds a 70% WI with Petrogas holding the remaining 30%. The
development lease for Shukheir North-West (NW) Field runs until February, 2019 and has
a possible 10-year extension; the development leases for the other fields were granted a
10-year extension in 2012 and now expire between June, 2023 and July, 2028.
FIGURE 1.7
AREA A, EGYPT
Within the development leases are the producing Um El Yusr (Yusr), Kareem, Ayun,
Shukheir and Shukheir NW oil fields (the Kheir field is no longer producing). The first four
of these have been in production since the 1960s, while Shukheir NW was discovered in
2008. Multiple producing sandstone reservoirs are found in the South Gharib, Belayim,
Kareem and Rudeis Formations of Miocene age. A stratigraphic column of the area is
shown in Figure 1.8.
