Gulf Keystone to increase oil production in Sheikhan field to 55,000 barrels a day

ERBIL, Kurdistan Region (Kurdistan 24) – The Gulf Keystone Petroleum states that the company will make significant operational progress in the Sheikhan oil field in the Kurdistan Region.

Gulf Keystone Petroleum in a statement on Monday stated that the company has been able to make strong safety performance during 2017 with no lost-time incidents at the Shaikan field and the operation remains secure in the area.

The statement added that plant uptime of 99% in 2017 helped contribute to an average gross production of 35,298 barrels of oil per day (bopd).

Due to the need to install downhole pumps in some wells in Sheikhan field, gross production guidance for 2018 is being set at 27,000-32,000 bopd,” the company explained.

The London-based Gulf Keystone said that “the company currently intends on investing this year [2018] in wells and facilities to expand production capacity to 55,000 bopd.”

Jón Ferrier, the CEO of Gulf Keystone said that “the company is now focused on achieving the commercial framework to significantly increase investment in Kurdistan to step up gross production to 55,000 bopd in the near to medium term.”

According to the statement the company’s “investments would include the hook-up of a short (400m) spur pipeline from Production Facility 2 to the Atrush export line, which links to the main export oil line to Turkey which would reduce trucking requirements, HSE risk and improve netbacks.”

In June 2013, the Company commenced commercial production operations and subsequently crude oil export sales where there are two production facilities capable of producing 40,000 barrels of oil per day (bopd) in Shaikhan block.

Gulf Keystone believes that the oil reserves at its Shaikan oilfield is around 639 million barrels gross.