Italian energy major ENI and Sharjah National Oil Corporation (SNOC) from the United Arab Emirates announced on January 4 production start-up from the Mahani field, located in onshore Concession Area B of the Sharjah Emirate.
According to ENI, this is the first step in the further evaluation of the Mahani gas and condensate discovery, announced last January, that is estimated to hold significant resources of natural gas and associated condensate. The production start-up has been achieved in less than two years from contact signature and less than one year since discovery announcement, the Italian company said in a press release.
“Production start-up has been achieved in less than two years since Contract Signature and one year since the discovery announcement thanks to the fruitful and continuous cooperation with SNOC,” ENI CEO Claudio Descalzi said. “This is a big achievement of which we need both to be proud of, considering also the exceptional challenges incurred during the year due to the COVID-19 pandemic. Exploration in Sharjah was considered to be over since the 1980s. However, together with SNOC we demonstrated that using state of the art technology and high level competences also areas considered as ‘mature’ can reveal new potential,” Descalzi added.
ENI holds a 50% stake in the Concession Area B with SNOC holding the remaining 50% and SNOC acting as Operator. ENI acquired Area B in a competitive bid round in January 2019.
Production from the Mahani field is sent through a new multiphase trunk line to SNOC’s Sajaa Gas Plant where it is processed utilising the existing facilities and infrastructure. Field production is expected to increase progressively with the connection of further wells planned to be drilled during 2021-22.
ENI said the company will continue its commitment on Sharjah exploration also in the Operated Areas A&C, of which Area C is largely under-explored, with the aim to secure further resources for the benefit and development of Sharjah Emirate.