United Oil & Gas, the Irish-led explorer, said on Wednesday that it was set to benefit from a “five out of five” success rate this year from the drilling wells from Egypt’s onshore Abu Sennan licence, in which it has a minority interest.
The London-listed company said the latest well would be tested and completed in the coming days, before being brought immediately onstream through existing Al Jahraa facilities attached to the Abu Sennan licence.
United will receive 22 per cent of the revenue from the well, which is operated by Kuwait Energy Egypt. Shares in the company jumped as much as 35 per cent in London, though they remain in negative territory for 2021 as a whole.
"We have had outstanding results with our drilling campaign in 2021 with five out of five successful wells drilled at Abu Sennan this year," said United Oil & Gas chief executive Brian Larkin. "All of the wells have been brought into production quickly, generating cash flow for the company."
Mr Larkin added: “The 2021 drilling campaign has further derisked the exploration potential at Abu Sennan and the development wells have provided further valuable data for future exploration drill targets, two of which are included in the 2022 programme.”
United Oil & Gas was established in 2015 by the Irishman, who previously held finance and commercial positions at Tullow Oil. He was later joined by former Tullow Oil colleague Briton Jonathan Leather, who worked with the oil group between 2007 and 2015, where his roles included membership of its global exploration leadership team.