BP Accelerates Development Of First Phase Of Atoll Field In Egypt

(RTTNews) - Oil giant BP Plc. (BP.L, BP_UN.TO, BP) said that it has signed a Heads of Agreement with the Egyptian Minister of Petroleum, Eng. Tarek El Molla, regarding the acceleration of the development of the recent Atoll gas discovery. The Atoll discovery (BP 100%) in the North Damietta Offshore Concession in the East Nile Delta, offshore Egypt was announced in March 2015.

The agreement is expected to enable first production to be expedited from an estimated 1.5 trillion cubic feet (tcf) of gas resources and 31 million barrels (mmbbl) of condensates in the Atoll field to the domestic market, with production anticipated to begin in 2018.

Full field development of Atoll is expected to consist of two phases. The first phase will consist of two development wells tied back to existing infrastructure, with production expected to start up in 2018. Success of this first phase is expected to trigger additional investment and further wells to increase production.

BP also expects to continue to invest in its existing oil operations led by its joint venture Gulf of Suez Petroleum Co. (GUPCO) and gas operations led by the Pharaonic Petroleum Co. (PhPC) joint venture, as well as continuing to progress its exploration program in the Nile Delta.

BP expects to sustain its current oil production and double its gas production in Egypt before the end of the decade to reach 2.5bcfd with partners, which represents more than 50% of Egypt's current gas production.

Development of Atoll will be executed and operated by Pharaonic Petroleum Co. (PhPC), BP's joint venture with EGAS and Eni.