SDX Raises Funds to Support Egypt Operations

Oil and gas exploration and production company SDX Energy Inc has raised approximately $11 million through a private placement, which will be used to fund its activities in Egypt.

“The proceeds will mainly be used on workover and waterflood programs at Meseda and on South Disouq's 3D seismic program,” said Stephane Foucaud, an analyst at FirstEnergy, in a brief research note sent to Rigzone.

“The workover and waterflood programs are expected to double both production and reserves at Meseda, offering a low risk way of achieving very material upside. The political outlook in Egypt looks to be improving for SDX Energy given that the government has started paying down its receivables,” Foucaud added.

“The new funds raised will enable us to significantly increase production in Meseda, our resilient, high-margin producing asset, and also complete the work program on South Disouq, our high impact exploration opportunity in Egypt,” said SDX CEO Paul Welch in a company statement released on SDX’s website.

“We believe that we are uniquely placed to thrive in this low oil price environment and look forward to the next chapter in our story with confidence."

On Friday, SDX revealed that it had started trading on the AIM market of the London Stock Exchange and announced that significant oil bearing reservoir sections were found in the recently completed Al Amir SE 24 development well in North West Gemsa.

SDX Energy currently holds 10 percent working interest in North West Gemsa.

A graduate in journalism from Cardiff University, Andreas has eight years of experience as a business journalist. Email Andreas at andreas.exarheas@rigzone.com

WHAT DO YOU THINK?

Click on the button below to add a comment.
Post a Comment
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

Events  SUBSCRIBE TO OUR NEWSLETTER

Our Privacy Pledge
SUBSCRIBE

More from this Author
Andreas Exarheas
Assistant European Editor | Rigzone
 -  Total to Invest in UK College Students (Apr 21)
 -  EM&I Launching Major Expansion Program... (Apr 20)
 -  Bilfinger Secures Over 200 Jobs with B... (Apr 20)
 -  Threat of UKCS Strike Action Increases (Apr 20)
 -  Rookie Mistakes to Avoid on Your First... (Apr 20)


Most Popular Articles

From the Career Center
Jobs that may interest you
Project Manager - Multifamily Construction
Expertise: Construction Manager|Project Management
Location: Orlando, FL
 
Project Manager / Senior Engineer
Expertise: Civil Engineering|Project Management
Location: St. Louis, MO
 
Treasury Analyst - Corporate Credit & Collections
Expertise: Accounting
Location: The Woodlands, TX
 
search for more jobs

Brent Crude Oil : $51.96/BBL 1.94%
Light Crude Oil : $49.62/BBL 1.29%
Natural Gas : $3.1/MMBtu 1.89%
Updated in last 24 hours