The East Ghazalat block was awarded to Vegas through an EGPC licensing round. Vegas was the sole participant and operator upon award in June 2007.
– Vegas farmed out a 50% interest to TransGlobe in January 2010
The first well on the block, Gawaad-1, was spudded in 2010 and drilled to basement but did not merit testing. The second well, Safwa-1, in 2010 proved to be the discovery well for the Sabbar-Sawfa Development Lease which was awarded in July 2011. In September 2011, the Company formed a Joint Venture operating company with EGPC (PetroSafwa) to manage the fields, as required under the concession agreement. First oil was delivered on 9th September, 2012.
Exploration activity continued until the present date. The North Dabaa discovery was made in July 2013 with hydrocarbons tested at both Abu Roash and Khatatba zones. EGPC granted the award of a separate development lease for this discovery on 18th February, 2014.
In 2012, Vegas commissioned a Competent Persons Report (CPR) which was performed by Ryder Scott. The report covered the East Ghazalat Concession for which a development lease (Sabbar-Safwa only) had been applied. The report predated first oil. The report estimated 2P reserves of 9.13mmbo (4.56mmbo net to Vegas) as of the report date of 31st December 2011.