Apache's Jade-1X Encounters Gas in Egypt's Western Desert

Apache says that the Jade-1X well has discovered natural gas on the company's Matruh Concession in Egypt's Western Desert. Speaking at the Howard Weil energy conference here today, Apache CEO, President and Chief Operating Officer G. Steven Farris said the well tested 25.6 million cubic feet (MMcf) of gas per day from the Jurassic Upper Safa member of the Khatatba formation.

"Jade-1X is an important discovery for Apache in that it extends the known productive limits of the Jurassic gas fairway almost 12 miles southwest of existing Jurassic production," Farris said. "This discovery also suggests significant reserve potential exists in multiple Alam El Bueib (AEB) reservoir objectives.

We plan five additional Jurassic and two AEB exploratory wells on the concession this year."

The company operates the Matruh Concession with a 100 percent contractor interest. The concession comprises more than a quarter-million acres.

The Jade-1X logged a total 65 feet of net pay in the Jurassic Upper Safa. Completion tests last weekend were conducted on a one-inch choke with 1,382 pounds per square inch of flowing wellhead pressure from perforations between 13,850 feet and 13,882 feet to evaluate 32 feet of net pay. An additional 33 feet of Upper Safa net pay in three sands between 13,480 feet and 13,750 feet will be perforated and gas from those zones will be commingled with that of the lower zone when the well comes on production around midyear.

The Jade-1X also logged 217 feet of pay in the AEB 3D, 3G and 6 sands. The AEB is a prolific producer throughout the 3.8-million-acre Greater Khalda complex, which includes Matruh. Apache plans to move the rig approximately two miles north of the Jade-1X discovery to appraise the AEB reservoirs.

Apache is currently constructing two additional trains in the Khalda Concession to increase takeaway capacity by 200 MMcf of gas per day, bringing total capacity to approximately 750 MMcf per day. Construction is expected to be completed by the end of next year.


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