Egyptian Minister of Petroleum Sameh Fahmy and LUKoil Overseas Egypt Ltd General Director Sergey Nikiforov have signed concession agreements on exploring the Northeast Geisum and West Geisum fields in the Suez Gulf. The initial minimal investment program is planned to be $27.8m, the press service of LUKoil Overseas Egypt Ltd reported. The program of exploration activities at both blocks is to last four years and it envisages the drilling of 8 exploration wells.
The total amount of investments is more than $340m. Capital costs on producing one barrel of oil equivalent are expected to be $1.4. The program on developing the fields envisages the drilling of 40 production wells. The total reserves of both fields are 423.8m barrels of oil.