Shell Makes Discovery Offshore Egypt

Shell and its partners have made a deepwater discovery offshore Egypt in the Mediterranean Sea with the KG45-1 well. A spokesman for Shell in London said Shell, Petronas Carigali and the Egyptian Natural Gas Holding Co. successfully drilled to a planned depth of 3,613 meters at the first of three planned exploration wells of the Northeast Mediterranean Deepwater Concession, known as NEMED.

The well is located about 150 kilometers north of Alexandria and is the deepest so far drilled in the Mediterranean. The spokesman was unable to say how much oil or gas flowed from the well, or when appraisal of the discovery would begin, but that information gathered from the drilling was being evaluated.

The well was drilled by Stena Drilling's semisub, Stena Tay. The rig is now being prepared to move to the second drilling site, around 25 kilometers to the Northeast.

The NEMED concession covers around 41,500 square kilometers, roughly the same size as the Netherlands, the spokesman said.