The Oil Man: SDX Energy
14th March 2018 09:11
Share on
SDX Energy
has announced an oil discovery at the Rabul 5 well in the West Gharib Concession in Egypt where they have a 50% interest.
The well was drilled to 5,280 feet TD and encountered approximately 151 feet of net heavy oil pay across the Yusr and Bakr formations with an average porosity of 18%.
After further evaluation the well is likely to be completed as a producer and connected to the central processing facility at Meseda.
Paul Welch CEO commented that "this was the thickest section of pay sands seen in the Rabul area to date and demonstrates the significant oil potential in the licence".
Yet again SDX has demonstrated the ability to find hydrocarbons, this time in Egypt with the first well in the current drilling programme on the concession. With the scope to further increase reserves, production and of course revenue and cash flow the company is well set for another good year. I have said before that the shares are cheap as chips and reinforce that view today.
Malcolm Graham-Wood is an independent oil industry expert and freelance contributor, not a direct employee of Interactive Investor.
These articles are provided for information purposes only. Occasionally, an opinion about whether to buy or sell a specific investment may be provided by third parties. The content is not intended to be a personal recommendation to buy or sell any financial instrument or product, or to adopt any investment strategy as it is not provided based on an assessment of your investing knowledge and experience, your financial situation or your investment objectives. The value of your investments, and the income derived from them, may go down as well as up. You may not get back all the money that you invest. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.
Full performance can be found on the company or index summary page on the interactive investor website. Simply click on the company's or index name highlighted in the article.