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It is expected that the drilling rig will continue working in West Bakr throughout 2013.
Production
Production from West Bakr averaged 4,359 Bopd to TransGlobe during the first quarter, an 8% (371 Bopd) decrease from the previous quarter, primarily due a higher than normal number of pump changes and sand clean-outs during January and February, when production was 4,126 Bopd and 4,199 Bopd respectively. Production increased to 4,737 Bopd in March and 4,692 Bopd in April. Production increases were attributed to new wells at K field, M field and H field, as well as improved pump performance in new K field wells and a successful work-over/recompletions in the M and K fields.
Quarterly West Bakr Production (Bopd) 2013 2012---------------------------------------------------------------------------- Q-1 Q-4 Q-3 Q-2----------------------------------------------------------------------------Gross production rate 4,359 4,730 4,590 4,230TransGlobe working interest 4,359 4,730 4,590 4,230TransGlobe net (after royalties) 1,373 1,569 1,268 1,244TransGlobe net (after royalties and tax) (i) 1,061 1,230 939 941----------------------------------------------------------------------------(i) Under the terms of the West Gharib Production Sharing Concession, royalties and taxes are paid out the Government's share of production sharing oil
East Ghazalat Block, Arab Republic of Egypt (50% working interest)
Operations and Exploration
No wells were drilled during the first quarter. Subsequent to the quarter, drilling commenced at Safwa 3, which is the first of a two-well development/appraisal program for the Safwa development area. In addition, a second larger drilling rig has been mobilized for a two-well exploration program. Drilling commenced at the Safwa South-1X exploration well which is targeting stacked zones in the Cretaceous and Jurassic, and is programmed to reach a total depth of 11,350 feet. As disclosed in the January 11, 2013 press release, the Safwa South-1X (formerly Safwa West) prospect was independently evaluated as of December 31, 2012 by DeGolyer and MacNaughton Canada Limited "DMCL". The Safwa South -1X well is targeting an un-risked Mean Gross Prospective Resource volume of 7.0 million barrels.
Production
Production from East Ghazalat averaged 338 Bopd to TransGlobe during the first quarter, a 28% (129 Bopd) decrease from the previous quarter primarily due to the decline in natural flow from the only flowing producer in the field. The well was converted to a pumping oil well in late March which increased production approximately 200 Bopd. Production from East Ghazalat averaged 846 Bopd (423 Bopd to TransGlobe) during April.
Production is trucked to a receiving terminal at the Dapetco-operated South Dabaa facility approximately 35 kilometers southwest of Safwa.
Quarterly East Ghazalat Production (Bopd) 2013 2012---------------------------------------------------------------------------- Q-1 Q-4 Q-3 Q-2----------------------------------------------------------------------------Gross production rate 677 934 163 -TransGlobe working interest 338 467 82 -TransGlobe net (after royalties) 170 235 41 -TransGlobe net (after royalties and tax) (i) 135 187 33 -----------------------------------------------------------------------------(i) Under the terms of the East Ghazalat Production Sharing Concession, royalties and taxes are paid out of the Government's share of production.
