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Oil & Gas

Genel Energy’s Tawke production continues to increase

Genel Energy PLC (LSE:GENL, OTC:GEGYY) told investors that production volumes from the Tawke field continue to increase, with output so far in the fourth quarter "averaging double" that seen in the preceding three-month period.

Production in the third quarter averaged 25,984 barrels of oil per day, following the restart of operations in mid-July, Genel reported today.

The oil is being sold domestically, with the Iraq-Turkey pipeline remaining closed.

Genel noted that its contractual entitlement represents "around one-half of volumes produced" and that sales prices "vary narrowly in the mid $30s per barrel". Oil payments are being made to the Tawke partners in advance, before any oil is delivered.

Oil payments exceeded Genel’s covered operational spend in the third quarter, it added.

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