London listed SDX Energy has signed a 10-year extension for its West Gharib concession on the West Bank of Egypt’s Gulf of Suez. SDX says the deal means it will commit to increased investment “to drill up to twelve wells over the next three years with the aim of maintaining gross oil output at around 3,000 b/d.”
SDX’s drilling commitments rise in line with oil prices. The base commitment is for six wells, but “if Brent reaches $55/B for twelve consecutive months four further development wells will be drilled. If Brent reaches $60/B for twelve consecutive months two further wells will be drilled,” the company says. (CONTINUED - 255 WORDS)