The MSD-25 infill development well on the Meseda field in Egypt’s West Gharib concession has started producing oil, according to SDX Energy, a London-based oil and gas exploration and production company with activities in the Middle East and North Africa.

The development comes after the well’s drilling was successfully completed in late February as part of a drive to develop 13 wells in the Meseda and Rabul oil fields in Egypt’s eastern desert to increase the country’s overall production capacity. Egypt’s crude oil and condensate production has decreased since 2015, owing to an over-reliance on aged fields and a lack of new finds. Projects like the MSD-25 well will allow the North African country to maintain its position as the continent’s top hydrocarbon producer.

According to SDX Energy, the well is expected to produce around 300 barrels per day (bpd). After drilling through 84.8 feet of good-quality, net oil pay sandstone with an average porosity of 26.1%, the business met the principal top Asl Formation reservoir at 4,109 feet MD and 4,385 feet TD.

Mark Reid, the CEO of SDX, stated in a press statement that MSD-25 has been connected to the company’s infrastructure and is already producing.

“Our 13-well development campaign at West Gharib, which we are now accelerating with the contracting of a second rig, provides a low-cost, highly beneficial exposure to the oil price which has generated a netback of $35 per barrel at $68 per barrel Brent in the first nine months of 2021. MSD-25 and the rest of the planned wells are expected to significantly boost the production and cashflow from these fields in the coming months and I look forward to updating the market further as the campaign progresses.”

By mid-April, SDX aims to begin drilling the KMSD-24 well and assess the rigs’ longevity. In Egypt’s Nile Delta, the company owns a 50% working interest in the West Gharib concession and a 55% operational interest in the South Disouq gas field.