Genel Energy has issued a Trading and Operations Update in advance of the Company's 2013 full year results, which are scheduled for release on 6 March 2014. (The information contained herein has not been audited and is subject to further review).
- Kurdistan Region of Iraq ("KRI") independent pipeline infrastructure complete, exports expected to commence in the near future
- The KRI independent export pipeline infrastructure is mechanically complete.
- Commissioning of the system is ongoing and is expected to continue through the first quarter of 2014.
- The first KRI pipeline oil has arrived at Ceyhan in Turkey. The Kurdistan Regional Government ("KRG") has announced that first KRI export sales via the pipeline are expected to commence in the near future, and ramp up over the remainder of the year.
- Inter-governmental Gas Sales Agreement signed
- In November 2013, the Government of Turkey and the KRG signed a Gas Sales Agreement ("GSA") governing the export of natural gas from the KRI to Turkey.
- The GSA calls for an initial 4bcma of gas exports from 2017, rising to 10bcma by 2020 and the option of increasing to 20bcma thereafter.
- Genel anticipates that the Miran and Bina Bawi fields will deliver the gas supply to underpin the GSA, and as such it represents a significant milestone in the commercialisation of this major gas resource.
Tony Hayward (pictured), Chief Executive of Genel, said:
"2013 was a transformational year for Genel. The energy agreement between the KRG and Turkey and the completion of the KRI independent pipeline infrastructure has paved the way for steadily rising oil export volumes from Taq Taq and Tawke over the course of 2014.
"In addition the Gas Sales Agreement has created the opportunity to develop our substantial gas resources at Miran and Bina Bawi for the Turkish market.
"Drilling is also now underway on our high impact African assets, with four wells set to be drilled this year, each offering the potential for material finds. Overall, 2014 is shaping up to be another very exciting year for Genel."