Key oilfield restarts production in Kurdistan Region of Iraq

DNO has restarted production at the Tawke oilfield in the Kurdistan Region of Iraq following a four-month shut in, the Norwegian oil and gas player announced on Thursday.

Production was suspended due to closure of the Iraq-Turkey pipeline in March 2023 by Turkey, which halted transportation of around 450,000 bopd from the Kurdistan Region at the request of Baghdad.

The Tawke field is currently producing 40,000 bopd.

Before the pipeline was halted the licence produced almost 95,000 bopd, including production from the nearby Peshkabir field that remains closed.

Half of the Tawke field’s production is sold to the local government, with the remainder sold to local trading companies that transport oil by road tankers.

“While there is no light at the end of the export pipeline, we are seeing the headlights of more and more incoming tanker trucks loading up our Tawke cargoes on a cash-and-carry basis,” said Bijan Mossavar-Rahmani, executive chairman of DNO.

The concession is operated by DNO with a 75% stake, with Turkey’s Genel Energy International holding the remaining 25% stake.

In Q2 2023, DNO’s overall production hit its lowest levels in 13 years at 14,450 boepd, with concessions on the North Sea contributing 10,800 boepd, plays in West Africa contributing 3,500 boepd and the company’s plays in the Kurdistan Region producing the remaining output.