Genel Energy PLC (LON:GENL) has told investors that DNO, as project operator, has confirmed production averaged 102,000 barrels of oil per day (bopd) from the Tawke licence assets in Kurdistan during the second quarter of 2020.
The licence, 25% owned by Genel, comprises the Tawke and Peshkabir oil fields, which produced at 58,100 bopd and 43,900 bopd respectively over the three-month period. This marked an 11% decline amidst halted development activity, to conserve cash as crude prices saw volatility.
In June, after crude prices stabilised, the Tawke field’s well intervention programme was fast-tracked to quickly add 15,000 bopd – lifting the licence average to 115,000 bopd in the month of July.
“The Peshkabir-to-Tawke gas reinjection project (the first enhanced oil recovery project in Kurdistan) was commissioned in June, and aims to unlock additional oil reserves at Tawke while significantly reducing gas flaring at Peshkabir,” Genel noted in a statement.
Earlier this week, Genel confirmed it received just under US$10mln in payments from the Kurdistan Regional Government for oil sales in the month of June.
The Taq Taq field partners received a gross payment of US$4.5mln, which sees Genel receive a net share of US$2.4mln. For the Tawke operation, the partners received US$30.2mln gross resulting in a net payment to Genel of US$7.4mln.