Egypt’s total debts to foreign oil firms active in the country rose by over $200mn in the first quarter of 2015, according to MEES estimates based on the five IOCs to have reported figures. Dana Gas saw its receivables rise by $10mn to $243mn. Despite this, Dana agrees with the general consensus that Cairo is on the right track. In its Q1 results, released earlier this month, it flagged its recently signed gas production enhancement agreement (GPEA). “With the GPEA project in Egypt making progress, we are in good shape to not only sustain but markedly increase our production in Egypt in the medium term.” Dr Patrick Allman-Ward, the firm’s CEO says.
“The GPEA has committed Dana Gas to a seven-year staged, $350 million work program with 20 new development wells and 17 work-overs of existing wells. The Company will keep the proceeds from incremental liquid sales, which will be used to pay down the receivables owed by the Egyptian Government,” the firm says in its 7 May Q1 results. (CONTINUED - 751 WORDS)