This upgrade represents a much tighter distribution of the Shaikan gross oil-in-place volumes, with the P90 value having increased by 4.4 billion barrels.
It indicates a narrowing gap between the P90 and P10 values, currently standing at 2.6 billion barrels of gross oil-in-place, which is a firm confirmation of the progress made in the understanding of the dimensions of the giant Shaikan field.
DGA’s updated estimates also indicate an increase in the mean value of Shaikan’s associated gross gas-in-place volumes from 3.5 trillion cubic feet to 4.9 trillion cubic feet.
This report marks the completion of the appraisal programme of the Shaikan field and will be followed by the submission of a Declaration of Commerciality by the Company to the Ministry of Natural Resources of the Kurdistan Regional Government, under the terms of the Production Sharing Contract regarding the Shaikan block. This Declaration of Commerciality will be followed by the submission of an Appraisal Report within two months.
Gulf Keystone is the Operator of the Shaikan block with a working interest of 75 per cent and is partnered with Kalegran Ltd. (a 100 per cent subsidiary of MOL Hungarian Oil and Gas Plc.) and Texas Keystone Inc., which have working interests of 20 per cent and 5 per cent respectively. Texas Keystone Inc. holds its interest in trust for Gulf Keystone, pending transfer of its interest to the Company.