Project Profile

Value: US$1,000 million
Location: Shaikan Block, Kurdistan, Iraq
Reserves: 4,900 million bbl
Production: 40,000 gross barrels of oil per day target (September 2015)
Area: 283 square kilometres
Start-up Year: 2015


The Shaikan-1 exploration well discovered oil in the Sargelu Formation at a depth of 1,450-1,510 metres. On testing the well flowed at rates of between 5,000-8,000 barrels per day of 21-22º API oil. The field has P90 gross oil in place volumes of 4.9 billion barrels. The Shaikan Block is situated near the city of Dihok, approximately 85 kilometres North-West of Erbil and covers an area of 283 square kilometres. Upon completion of the Shaikan-1 well the commitments under the first phase of the PSC will have been completed with an option to enter into Phase 2. The Kurdistan Regional Government (KRG) has an option to nominate a third party interest of up to 15% in the Shaikan PSC and a further option to nominate a government interest of up to 20% following a commercial discovery. In Septmember 2015 the daily average production was in excess of 40,000 barrels of oil gross.


Operator:

Gulf Keystone Petroleum Ltd.: Operator with 75% interest

MOL Hungarian Oil and Gas Plc.: 20% interest

Texas Keystone Inc.: 5% interest


Contractors:

Dynamic Global Advisors: Reserves estimate

Weatherford: Drilling Weatherford Rig 319