BG Confirms Success of Sienna-2

BG Group and Edison International, announced the successful completion of Sienna-2, the first Sienna appraisal well in the West Delta Deep Marine Concession (WDDM), offshore the Nile Delta, Egypt. Sienna-2 marks the completion of the appraisal program to confirm sufficient reserves to underpin Train 2 of the Egyptian LNG project.

The well, located in the north central area of WDDM, 77 kilometers offshore, was drilled to a depth of 2,597 meters in 991 meters of water by Atwood Oceanics' semisubmersible, Atwood Hunter. Sienna-2 is the most northerly well drilled so far in the concession and confirms the northern extension of the Sienna gas reservoir. The well was not tested.

Stuart Fysh, Vice President, BG Egypt, said: "Our outstanding exploration record in the West Delta Deep Marine Concession confirms that there are sufficient reserves to support the first two trains of our planned Egyptian LNG facility. BG, along with its partners in Egyptian LNG - Edison International, Egyptian General Petroleum Corporation, Egyptian Natural Gas Holding Company and Gaz de France - are on course to sanction the first train in the summer of 2002, when monetization of export reserves will begin."

The Sienna-2 success continues the 100 percent drilling success rate in the WDDM concession, bringing the total number of successful exploration and appraisal wells to 16. This latest success follows completion of the Sapphire-4 appraisal well in February and the Solar-1 exploration well in January, earlier this year. Sapphire-4, drilled to a depth of 3,040 meters in 488 meters of water, confirmed the north-east extension of the Sapphire field. Solar-1, drilled to a depth of 2,403 meters in 1,046 meters of water, marks the discovery of a new gas accumulation in the prolific WDDM concession.

Stuart Fysh continued: "BG Egypt and Edison are set to further define the prospectivity of the concession with the acquisition of a 1,200 square kilometers 3D seismic survey in the second quarter of this year."

BG Egypt and Edison, both 50 per cent partners in WDDM, are currently engaged in the development of the Scarab/Saffron fields in the concession. These are on course to produce first gas for the domestic market in the first quarter of 2003.


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