Chinese company strikes oil, additional gas reserve in Ogaden, Ethiopia

Poly-GCL, the Chinese company engaged in oil and gas exploration and development project in the Ethio-Somali Regional State, Ogaden basin, has discovered oil and gas deposits.

Poly-GCL, which signed petroleum exploration and development agreement with the then Ministry of Mines in November 2013, has been prospecting for oil and gas reserve in a vast exploration area in the Ogaden basin. The company is also trying to develop the Calub and Hilala gas fields which was found in the Ogaden basin many years ago.  

Koang Tutlam (MD), state minister of the Ministry of Mines, Petroleum and Natural Gas, told The Reporter that Poly-GCL has discovered additional gas reserves in the Calub gas field. “In the appraisal wells the company drilled around Calub it has discovered additional gas reserve. If you remember we were talking about 4.7 Trillion Cubic Feet (TCF) of gas reserve. Now the recoverable gas amount reached 6-8 TCF. The amount has increased significantly,” Dr. Koang said.

Dr. Koang said Poly-GCL has discovered some amount of oil in the new exploration wells it drilled around Hilala locality, 1,200 km southeast of Addis Ababa. “In the new exploration wells they drilled they have found some oil. But we do not have figures right now. The company is making assessment to determine the amount of oil. We will reveal the figures once the assessment is completed.”  

The Calub and Hilala gas fields were discovered by an American company called Tenneco in 1972. Former Union of Soviet Socialist Republics (USSR) oil firm, Soviet Petroleum Exploration Expedition (SPEE), which was prospecting for oil in the Ogaden basin in 1980s, confirmed the gas reserves in Calub and Hilala localities estimated at four TCF.

Read more at: The Reporter

1 thought on “Chinese company strikes oil, additional gas reserve in Ogaden, Ethiopia

  1. Calub and Hillala was already explored in the 70s and early 80s with a significant reserve of Natural Gas and some oil shaows in Hillala. This2 areas ate already known for good Gas potencial and we drilled around 10 or more wells and tested sucssesfully. iftbe Chinese did exploration out side of this area, then i can appreciate, other wise they cant take the credit for the works we did 25 years ago.

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