Centurion Awarded Block 2 in Egypt
|Wednesday, November 05, 2003
Said Arrata, President and CEO of Centurion Energy, revealed that Centurion Petroleum Corporation has been selected as the successful bidder for a 100% working interest in Block 2 located in Southern Egypt.
Block 2 is located in the Kom Ombo Basin, a rift basin analogous to the Muglad Basin in Sudan where major discoveries have been made. The Block covers approximately 5,600,000 acres with numerous seismically defined leads holding potential for significant oil reserves.
The Kom Ombo Basin area has had some limited exploration activities carried out during the late 1990's. Of particular significance is the well Kom Ombo-1, which was drilled in 1997 and tested light oil at a depth of 8150 feet from an Early Cretaceous good quality sandstone reservoir, indicating the presence of a petroleum system. In 1998, the Kom Ombo-2 exploration well encountered significant oil and gas shows in the same reservoir. Favourable fiscal terms have been agreed and formal license agreements are being prepared. Centurion has committed to spend US$2MM in the first two-year exploration phase. Plans are to reprocess 1000 Km of 2D seismic and re-enter and test the Kom Ombo-1 well, plus conduct additional geological and geochemical studies.
Commenting on the award, Said Arrata said "The Block 2 is an excellent opportunity to compliment our current activities in Egypt, and coincides with our strategy to expand operations in core areas through the addition of quality assets."