Sea Dragon Energy Inc. confirmed that the Al Baraka-16 well has discovered oil in a separate fault block from the main Al Baraka field, in the Komombo concession in southern Egypt, Africa, and tested oil from the deeper Kom Ombo "C" sand pay. This discovery has the potential of more than doubling the current field production, stated the company.

The well encountered oil shows in the Six Hills F1, Kom Omb "C" and Kom Ombo "A" sands. Cores were cut in the Six Hills F1 and Kom Ombo "A" sands. Core and petrophysical analyses show 60 ft (18 m) of oil pay in the Kom Ombo "C", 18 ft (5.4 m) in the Six Hills F1 and 4 ft (1.2 m) in the Kom Ombo "A". This development well was successfully drilled to a total depth of 7,590 ft (2,313 m) in the basement.

The Kom Ombo "C" was selectively perforated in the interval 6,610 ft (2,014 m) to 6,767 ft (2,062 m) and tested with Nitrogen lift at a rate of up to 530 barrels of oil per day. This is the first commercial oil discovery in the Kom Ombo "C" sands where oil shows were observed in other wells previously drilled on the concession.

The forward plan is to place the well on an extended production test to establish a stabilized production rate, map the extent of the pay and develop a plan for future step-out wells.