Gazprom Neft sees oil reserves of Kurdistan’s Garmian at 8 mln tns

MOSCOW, Sep 28 (PRIME) -- Russian oil company Gazprom Neft has estimated recoverable oil reserves of the Garmian block in the Iraqi Kurdistan at 8 million tonnes so far, but estimation of the reserves continue, CEO of Gazprom Neft Middle East Sergei Petrov said in an interview to sectorial magazine Neftekompas published on Thursday.

“We see recoverable oil reserves at about 8 million tonnes. We are now drilling a second well, which will give us new geological information, and we will adjust the figure,” he said.

The company also expects average daily oil production at the Sarqala field in the region to reach 7,631 barrels in 2017.

“Last year output at the Sarqala-1 stood at 3,863 barrels a day. We started 2017 with an output of about 5,500 barrels a day. During the year we managed to raise the output to 9,600 barrels a day…We expect average daily output in 2017 to rise to 7,631 barrels. Next year output may reach 13,455 barrels per day,” he said, adding that the company is now estimating natural gas reserves of the block and the necessity of building gas infrastructure there.

Projects in the Iraqi Kurdistan are promising for Gazprom Neft.

“In the period of high oil prices, companies invested in all promising regions and expanded their presence at many different markets. But companies recalculated efficiency figures after the fall of oil prices and after disappointment in initial geologic expectations. They cut their least competitive projects. Gazprom Neft values its asset portfolio from the point of view of long-term economic efficiency,” he said.

“I believe that our prospects in the Kurdish region of the republic of Iraq are good, and we will be able to receive good results at these projects.”

On September 24, the government of Iraq called on foreign states to stop importing oil from the Iraqi Kurdistan and to trade only with the government of Iraq after the region announced that it will hold a referendum on independence on Monday, September 25.

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