Genel Energy receives latest oil payments from Kurdistan Regional Government


Genel Energy PLC (LON:GENL) on Wednesday confirmed the receipt of US$6.7mln in oil payments from the Kurdistan Regional Government (KRG).

In a statement, the Iraq-based crude producer reported that the partners in the Taq Taq oil field were paid US$6.7mln gross for oil sales in August 2019, and, its 44% net share amounted to US$3.6mln.

It noted that an override payment of US$7.4mln was also received from the KRG, representing 4.5% of August’s gross licence revenue for the Tawke field.

READ: Genel’s new Taq Taq well to start producing ‘soon’

The company added that an update on further payments will be included in a trading and operations update scheduled for 16 January.

Earlier this week, Genel told investors that the TT-34 well at the Taq Taq field will commence production “around the middle of January”.

The TT-34 well has shown test flow rates of over 3,900 barrels of oil per day (bopd), though it is expected to yield between 1,500 and 2,000 bopd once it comes on stream.

On Monday, Genel said that individual zone testing is underway to determine the long-term production strategy, the company said, adding the rig has now moved to drill the TT-35 well, also on the northern flank of the field, currently preparing to spud.

Overall the Taq Taq field is producing around 13,650 bopd.

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