Dana Gas Targets 80 Bcf Boost with $100M Egypt Drilling Program

Dana Gas has announced encouraging early results from its Begonia-2 appraisal well in Egypt’s Nile Delta, reporting estimated gas reserves of up to 9 billion cubic feet and an expected daily output of 5 million cubic feet.

Begonia-2 is the first well drilled under the company’s $100 million investment initiative in Egypt, launched to develop 11 wells over the next two years. The program is designed to raise production levels and strengthen the long-term sustainability of the country’s gas supply.

In parallel, Dana Gas has made significant headway in re-completing the Balsam-3 well, which is projected to hold 4 billion cubic feet of gas. Once back online, it is expected to contribute an additional 3 million cubic feet per day to the company's output.

Overall, the two-year drilling campaign is projected to add up to 80 billion cubic feet of recoverable reserves, significantly reinforcing Dana Gas’s production base in Egypt.

CEO Richard Hall said that the success of Begonia-2 and the re-completion of Balsam-3 mark an excellent start to our new investment phase in Egypt. The Begonia area holds significant promise within the Nile Delta.

Hall also credited the company’s progress to a concession consolidation agreement signed in late 2024 with the Egyptian Natural Gas Holding Company (EGAS), which secured more favorable financial terms and opened access to new exploration areas.

Earlier this month, Minister of Petroleum and Mineral Resources, Karim Badawi, visited the Begonia-2 site, highlighting the government’s continued push to attract foreign investment and ramp up natural gas production through international partnerships.