Oslo-based DNO International has struck more recoverable oil in the northern Kurdistan region of Iraq. The find is at its Benenan-3 well at around 2,000 meters. The company is investigating the discovery further.
The find adds to its wells in the Tawke fields, one of which is set to spud in October, which will help the company reach its target of 100,000 b/d before the end of the year.
Bijan Mossavar-Rahmani, DNO’s executive chairman, said: “Through these wells and others planned next year, the company is targeting in excess of 500 million barrels of gross unrisked oil and gas reserves, predominantly in Kurdistan.”
Like many of its competitors, DNO International has entered into oil agreements with the Kurdistan Regional Government, against the wishes of Iraq's central government, which says the deals are illegal.
“Our drilling campaign is aggressive, it is balanced between exploration and development, and it is consequential,” said Mossovar-Rahmani.
DNO shares, listed in Oslo, are up 45% on a year ago, but investors were unsurprised by the latest oil find, with the shares ending less than 1% up on the day.
Sources: Bloomberg; Proactive Investors; DNO International; AIN