Restart of Kurdistan Crude Exports

Gulf Keystone Petroleum Ltd has announced the restart of crude exports from Kurdistan via the Iraq-Türkiye Pipeline. This follows agreements with the Kurdistan Regional Government and the Federal Government of Iraq. Exports from the Shaikan Field are expected to resume shortly, adhering to Iraq's 2023-2025 Budget Law while maintaining Kurdistan's Production Sharing Contracts.

The Budget Law includes a three-month interim period compensating International Oil Companies for production and transportation costs. This will likely improve Shaikan Field prices from $27-28/bbl to over $30/bbl. An independent consultant will later reconcile these prices to full international levels.

The Iraqi State Organization for Marketing of Oil will transport the crude to Ceyhan in Türkiye, where it will be sold. A nominated trader will handle proceeds, with payments made via escrow accounts. Discussions on outstanding payments from October 2022 to March 2023 are ongoing.