Canada’s Groundstar Resources has entered into an asset exchange agreement with Karl Thomson Energy (KTE), increasing its interest to 80% in Egypt’s West Komombo (WKO) block, where it serves as operator. Groundstar will exchange its 20% working interest in the West Esh El Mallaha (WEEM) block, where KTE has been funding drilling and completion operations solely as of November, for a 20% interest in the WKO block and $800,000 in adjustments. The agreement is currently pending the approval of Egyptian Regulatory Authorities. The block is in an area currently experiencing high levels of hydrocarbon discoveries, the firm said. Dana Gas Egypt announced the completion of the al-Baraka-4 well, with a potential flow rate of 1,300 b/d, on its adjacent concession (MEES, 18 January).