ABU DHABI Ñ Saudi Arabia has reported the discovery of gas reserves
in the eastern part of the kingdom.
Saudi Oil Minister Ali Al Naimi said Saudi Aramco discovered gas
reserves in the Eastern Province. Al Naimi said the gas surfaced at the
Madraka-1 well at a rate of 38 million cubic feet per day. Aramco also
reported a find of 1,650 barrels of condensates a day.
"Studies show that the permanent production capacity of the well might
exceed the current level of production," Al Naimi said.
The gas discovery was the first reported since Saudi Arabia signed
contracts in March 2004 with companies from China, Italy, Russia and Spain
for gas exploration and development. Saudi Arabia has reported gas
production of seven billion cubic feet a day.