Petrogas E&P LLC is the holding company for MB Holding’s oil & gas exploration and production interests locally and internationally. The company began in 1999 when Petrogas was awarded Block 7 in Oman containing the mature Sahmah field and the marginally productive fields of Ramlat and Rija. As an Operator, Petrogas, managed to arrest production decline and kept the block producing safely and efficiently for the concession license period. The Block license expired in 2015 and was extended until 2016, facilitating a smooth handover to the new Operator.

Further producing assets were acquired in 2007 in Egypt, where Petrogas farmed in for a 30% interest in mature producing assets on the west side of the Gulf of Suez (Area A). The Asset is under a Service Agreement with the General Petroleum Company operated by Kuwait Energy Company having 70% interest. Success followed in 2008 with the exploration discovery of the Shukeir Northwest field. This has allowed production to increase and be sustained above 6,000 bopd ever since.

In 2008, Petrogas was awarded a Service Agreement with Petroleum Development Oman (PDO) to operate the Rima Cluster of Small Fields in Oman (75% working interest).

At the time of handover, there were 9 producing fields, discovered and developed in the 1980s, and 9 undeveloped single-well discoveries. Five of the latter have now been brought onstream. There were 20 active wells in August 2008 producing 2,200 bopd, and in 2016 Petrogas was operating more than 250 active wells. 2000 km2 of new 3D seismic data was acquired in 2012. Production, based on drilling with one rig only, peaked at 14,300 bopd in Q1 2012 then stabilized at 10,000 to 13,000 bopd levels since then, as the focus on well delivery continues.

In 2013, Petrogas was awarded Block 55 concession in Oman and made a farm-in agreement in Block SL-18, Somaliland with DNO. Then in March 2016, Petrogas was officially approved as a 40% equity partner in Mozambique, Area A exploration license with Sasol.

Petrogas Europe was established in 2014 in the Netherlands when Petrogas acquired Chevron Exploration and Production Netherlands B.V. (CEPN), including its subsidiary Chevron Transportation B.V. (CT) later renamed as Petrogas E&P Netherlands B.V. (PEPN) and Petrogas Transportation B.V. (PT).. PEPN gross / working interest of average daily production in 2016 was 20,900 /8,600 bopd from the existing fields. Just after a year, Petrogas significantly achieved a great milestone, as it safely installed its first platform in the North Sea and successfully drilled 3 wells, resulting in the first gas being produced in December 2015.

As part of the plan to grow our resource base in the North Sea, Petrogas has signed a Sales Purchase Agreement (SPA) with PA Resources AB to acquire some of its subsidiaries holding a number of exploration and potential developmental interests in Denmark, The Netherlands, UK and Germany.

Petrogas’ New Ventures Team continues to evaluate opportunities to grow the company still further in key focus areas of the Middle East, Europe, North and East Africa, and Asia. It also seeks opportunities where synergies between Petrogas’ upstream skills and those of sister companies of the MB Group can be realized.

Over a decade the company has grown its oil production from a few thousand bopd to more than 80,000 bopd gross, and its staff from a handful to more than 300, including Europe, of whom almost 93% are locals.

For more information, visit www.petrogasep.com

Chairman’s Award
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