BP Inks Deal to Accelerate Development of Atoll Gas Discovery in Egypt

BP on Thursday said it has signed a deal regarding the acceleration of the development of the recent Atoll gas discovery in Egypt.

The energy major signed a Heads of Agreement (HoA) with the Egypt’s ministry of petroleum.

The Atoll discovery in the North Damietta offshore concession in the East Nile Delta, offshore Egypt was announced in March 2015.

The agreement is expected to enable first production to be expedited from an estimated 1.5 trillion cubic feet (tcf) of gas resources and 31 million barrels (mmbbl) of condensates in the Atoll field to the domestic market, with production anticipated to begin in 2018.   

Full field development of Atoll is expected to consist of two phases. The first phase will consist of two development wells tied back to existing infrastructure, with production expected to start up in 2018. Success of this first phase is expected to trigger additional investment and further wells to increase production.

Development of Atoll will be executed and operated by Pharaonic Petroleum Co. (PhPC), BP’s joint venture with EGAS and Eni.