Abu sennan concession

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Introduction

In early 2020, United Oil & Gas completed the acquisition of Rockhopper Egypt Pty, which included a 22% non-operating interest in the Abu Sennan concession.

The Abu Sennan concession is located in the prolific hydrocarbon-producing Western Desert region of onshore Egypt, and comprises 7 Development Concessions, each containing a producing field, as well as a 644km2 Exploration Licence. The licence is operated by Kuwait Energy Egypt (25%), with Global Connect Ltd (25%) and Dover Investments (28%) the other partners in the Joint Venture.

Location of the Abu Sennan concession, Western Desert, Egypt (Source: Gaffney Cline & Associates CPR Report, 29th October 2019)

In February 2020, there were 17 wells in production on the concession, which were delivering c. 7,900 boepd gross production (1,740 boepd net to United’s 22% interest). A CPR report completed by Gaffney Cline & Associates dated 29th October 2019 estimated 2P reserves net to United’s working interest of 2.66mmboe.

Abu Sennan concession (Source: Gaffney Cline & Associates CPR Report, 29th October 2019)

A 2019 infill drilling campaign delivered significant success, including the ASH-2 discovery, which was brought onstream in January 2020 at consistent rates of over 3,000 bopd. Infill drilling will continue in 2020 with a 4-well campaign planned. There is also significant exploration upside on the licence, and we look forward to working with our partners on the licence to unlock further potential.

Prospectivity identified on Licence P2480 (Source: Rockhopper Management Presentation, January 2019)