Norwegian firm DNO International has announced that it receved its second part payment for exports of cruide from Iraqi Kurdistan.
The company yesterday received $60 million from the Kurdistan Regional Government in respect of oil exports from the Tawke field operated by the Company in northern Iraq, following an initial delayed payment of $103.7 million made in June this year.
The Company had previously reported temporary reductions in production from the Tawke field to permit field performance evaluation. Reservoir monitoring efforts are ongoing but production has now been increased to 55,000 barrels a day.
Drilling and testing of exploration wells continue on other DNO blocks in Kurdistan as do engineering studies to increase output capacity of the fields in the Tawke and Erbil licenses.
Exports from Tawke had been suspended due to the ongoing dispute between Baghdad and Erbil over the legality of production sharing contracts signed by the KRG with international oil companies. Baghdad has authorised export payments, but only for exploration and development costs.
DNO – and the other producers in the region – are likely to have to wait until the stymied hydrocarbon laws are passed before received payment for profit oil.
