BP : Nooros fast-track development in Egypt achieves production milestone less than one year after discovery

Date: 12 May 2016

BP today confirmed production ramp up from the Nidoco North 1X exploration well and the Nidoco North West 4 development well in the Nooros field, located in Abu Madi West concession in the Nile Delta, Egypt. 

BP holds a 25% stake in the concession of Abu Madi West, and Eni, through its subsidiary IEOC, holds 75%. The field is operated by Petrobel, a joint venture between IEOC and the State partner Egyptian General Petroleum Corporation (EGPC).  

Discovered in July 2015, the field is now producing around 305 million standard cubic feet of gas, 3,000 barrels of condensates and 1,500 barrels of NGL per day from four wells. This has been achieved after facility de-bottlenecking and enhancing existing production facilities.  

Hesham Mekawi, BP North Africa Regional President, commented: 'We are pleased to announce the production of Nooros after only 10 months since its discovery. Nooros is another example of BP's commitment to fast track the development of its resources in order to bring critical gas production to Egypt. Our plan is to maximise production through continued debottlenecking of the production facilities.' 

Mekawi added: 'BP is proud of its successful partnership with Egypt for more than 50 years, and its role in the development of Egypt's energy sector. This announcement is further demonstration of our commitment to continuing to play a key role in helping to secure Egypt's energy supply for many years to come.'

The Nidoco W-2 exploration well is expected to spud later this month and will test a western segment of the field. Another exploration well, the BSW-1 (Barakish), was spudded by Petrobel in April, to test an analogous but separate reservoir north of Noroos. BP holds a 50% stake in the Baltim South Development Lease where the BSW-1 well is being drilled.

Development wells, including Nidoco North West 5 well spudded on 7 May, are expected to increase production over the course of 2016.

• BP has a long and successful track record in Egypt stretching back over 50 years with investments exceeding $25 billion, making BP one of the largest foreign investors in the country. In Egypt, BP's business is primarily in oil and gas exploration and production. BP is working to meet Egypt's domestic 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 oil and condensate.
• In addition, through joint ventures with EGPC/EGAS and IEOC (ENI), the Pharaonic Petroleum Company (PhPC) and Petrobel, BP currently produces close to 30% of Egypt's total gas.
• The West Nile Delta (WND) project is a strategic project for BP. BP is the operator of the project. The project involves the development of 5 trillion cubic feet of gas resources and 55 million barrels of condensates. Production from WND is expected to be around 1.2 billion cubic feet a day (bcf/d), equivalent to about 30% of Egypt's current gas production. All the produced gas will be fed into the country's national gas grid. Production is expected to start in 2017.
• BP has made a series of discoveries in Egypt in recent years including Taurt North, Seth South and Salmon and Rahamat, Satis, Hodoa, Notus, Salamat and Atoll.
• BP is a 33% shareholder of a natural gas liquids plant extracting LPG and propane, United Gas Derivatives Company (UGDC), in partnership with ENI/IEOC and GASCO (the Egyptian midstream gas distribution company).
• BP is also present in the downstream sector through Natural Gas Vehicles Company (NGVC, BP 40%) which was established in September 1995 as the first company in Africa and the Middle East to commercialize natural gas as an alternative fuel for vehicles.

BP Egypt office: [phone]
BP Press Office, London: [phone], [e-mail]

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 concerning BP's Nooros production platform and field, including expected timing and production levels; expectations regarding BP's contribution to future gas supply in Egypt; plans and expectations regarding the Nidoco W-2 exploration well and the Nidoco North West 5 development well; and BP's plans and expectations regarding the West Nile Delta Project.  Actual results may differ from those expressed in such statements.
This press release 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. 001-06262. This form is available on our website at www.bp.com. You can also obtain this form from the SEC by calling 1-800-SEC-0330 or by logging on to their website at www.sec.gov