LONDON – The Kurdistan Regional Government (KRG) has paid out $35 million for crude oil deliveries in March to Genel Energy and Gulf Keystone, the companies announced.
London-listed Genel Energy said Tuesday that its receipt of some $20 million will be shared with DNO, its partner in the Tawke oil field.
“The Tawke field partners have received a gross payment of $16.87 million from the Kurdistan Regional Government for March crude oil deliveries to export and local markets from the Tawke field under the payment arrangement announced earlier in 2016,” Genel said in a statement.
“An additional $3.24 million gross payment has been made towards the recovery of outstanding entitlements for past deliveries. The payments will be shared pro-rata by DNO and Genel,” it added.
Gulf Keystone, meanwhile, said it had received a gross payment of $15 million from the KRG for crude exports from the Shaikan block.
“Gulf Keystone Petroleum is pleased to announce that a gross payment of $15 million has been received from the Kurdistan Regional Government for Shaikan crude oil exports in March 2016,” the company said in a statement.
The payment “comprises the Company's monthly contractual revenue entitlement under the Shaikan Production Sharing Contract for crude oil exports in March 2016 of $5.5 million gross ($4.3 million net to Gulf Keystone), $0.6 million gross ($0.4 million net) towards the recovery of outstanding entitlements for past deliveries and $8.9 million towards the recovery of Gulf Keystone's past costs associated with the Shaikan Government Participation Option,” the statement said.
News of the payments sent share prices for both companies soaring, with Genel shares closing more than 10 percent higher and Keystone trading 8 percent higher after the announcement Tuesday.
KRG oil exports in March totaled more than 10.14 million barrels and earned it over a half billion dollars, even though production was affected by a closure of its pipeline to Turkey.
London-listed Genel Energy said Tuesday that its receipt of some $20 million will be shared with DNO, its partner in the Tawke oil field.
“The Tawke field partners have received a gross payment of $16.87 million from the Kurdistan Regional Government for March crude oil deliveries to export and local markets from the Tawke field under the payment arrangement announced earlier in 2016,” Genel said in a statement.
“An additional $3.24 million gross payment has been made towards the recovery of outstanding entitlements for past deliveries. The payments will be shared pro-rata by DNO and Genel,” it added.
Gulf Keystone, meanwhile, said it had received a gross payment of $15 million from the KRG for crude exports from the Shaikan block.
“Gulf Keystone Petroleum is pleased to announce that a gross payment of $15 million has been received from the Kurdistan Regional Government for Shaikan crude oil exports in March 2016,” the company said in a statement.
The payment “comprises the Company's monthly contractual revenue entitlement under the Shaikan Production Sharing Contract for crude oil exports in March 2016 of $5.5 million gross ($4.3 million net to Gulf Keystone), $0.6 million gross ($0.4 million net) towards the recovery of outstanding entitlements for past deliveries and $8.9 million towards the recovery of Gulf Keystone's past costs associated with the Shaikan Government Participation Option,” the statement said.
News of the payments sent share prices for both companies soaring, with Genel shares closing more than 10 percent higher and Keystone trading 8 percent higher after the announcement Tuesday.
KRG oil exports in March totaled more than 10.14 million barrels and earned it over a half billion dollars, even though production was affected by a closure of its pipeline to Turkey.
Comments
Rudaw moderates all comments submitted on our website. We welcome comments which are relevant to the article and encourage further discussion about the issues that matter to you. We also welcome constructive criticism about Rudaw.
To be approved for publication, however, your comments must meet our community guidelines.
We will not tolerate the following: profanity, threats, personal attacks, vulgarity, abuse (such as sexism, racism, homophobia or xenophobia), or commercial or personal promotion.
Comments that do not meet our guidelines will be rejected. Comments are not edited – they are either approved or rejected.
Post a comment