Dana Gas mulls review of Egypt work

FUJAIRAH, November 10, 2016 – Outstanding receivables might prompt the UAE’s Dana Gas to review its future investments in Egypt, chief executive Patrick Allman-Ward said on Wednesday.

The amount due stood at USD 242 million as of September 30, up USD 21 million since the end of 2015. “If it doesn’t happen [the payment], in keeping with our long-standing policy of balancing collections for investment, we would be forced to review how that balance can be maintained,” Allman-Ward said.

Dana Gas’ production in Egypt averaged 40,000 boepd in the third quarter of 2016, a 24% year-on-year increase. The company recorded a profit of USD 13 million over the mentioned period, over turning a USD 9 million loss a year earlier.

Allman-Ward also said Dana Gas was discussing a farm-out agreement for the North El Arish Concession/Block 6 in the Eastern Nile Delta, which he labelled an “exciting” prospect, with seven possible partners.

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