Ahead of its presentation to investors at its AGM today, DNO has unveiled the presence of movable oil in the Jurassic interval at its exploration well at Peshkir-1.
The company says that testing is ongoing to acquire additional data. Previous tests in the Peshkabir-1 well produced water at two Triassic intervals and one of three Cretaceous intervals.
Following the Jurassic test the Company is considering two additional tests in the Cretaceous.
DNO has enjoyed an 85% success rate in exploration drilling in the Kurdish region of Iraq, and is planning to increase production at its prized Tawke field to 100,000 boe per day by the end of the year.
Lifting costs are just $2.11 per barrel, which even with discounted sales to the local market as a result of an export ban by the KRG, gave DNO a 69% gross profit margin in the region last year.
Kurdistan is the company’s most prolific play, contributing three quarters of production and 60% of gross profit. It’s other producing assets are in Yemen and Oman.
DNO boasts 42,100 boe per day production across 17 licenses in the Middle East and North Africa, and 531 million boe of 2P reserves, since taking on the assets of RAK Petroleum in return for shares in January this year.
