London-based SDX Energy has announced the discovery of a new gas deposit in Egypt’s South Disouq, according to a press release.

SDX Energy is involved in the exploration, development and operation of oil and gas properties, mainly focusing on Egypt. The testing at the SD-4X well where the discovery was made will begin 30-45 days after the rig departs.

If the testing is successful, production is projected to start in the fourth quarter of this year.

“We are extremely encouraged by today’s result at South Disouq,” president and CEO of SDX Paul Welch said.

“We will now accelerate our development activity in the area. It’s our intent to establish production from both the South Disouq and Ibn Yunus areas before year end 2018,” Welch added.

SDX Energy announced in the first week of June that it had begun drilling SD-4X well.

“The SD-4X well was drilled to a total depth of 7,806 feet and encountered 89 feet of net conventional natural gas pay in the Abu Madi horizon, which had an average porosity in the pay section of 24 percent,” the company said.

The company has one more well it plans to drill as part of its plan this year, Egypt’s Al Ahram reported.

“Overall, we are very pleased with our recent drilling activity. In Morocco we had seven successful results from our nine well programme and in Egypt we have had three successes out of the four wells drilled to date, with one well to go,” Welch said.

“In Egypt, SDX has a working interest in two producing assets (50 percent North West Gemsa & 50 percent Meseda) located onshore in the Eastern Desert, adjacent to the Gulf of Suez,” the company said.

Source: www.iol.co.za