Erbil (Reuters) – Iraq’s Kurdistan region said on Thursday he expected the start of the regular payment of dues of Petroleum Exporting companies in the first half of September which led to a rise in shares of those companies as much as 17 percent in early trading. The Ministry of Natural Resources and the province said in a statement that between 75 million and $ 100 million of direct crude oil sales revenues will be allocated as payments under the account of the companies. And it increased the region independent sales since mid-June, while reducing the allocations of the Iraqi Oil Marketing Company (SOMO) in an escalation of a dispute over export rights and the balance of payments caused the non-payment of dues companies.
The statement said that “regular payments will allow exporting companies to cover ongoing expenses and planning for more investment in oil fields, thus enhancing the production.” The statement added that “with the increase in oil exports at the beginning of 2016 expects the Kurdistan Regional Government to provide additional revenues for international oil companies to be able to start getting past entitlements under production sharing contracts with them.”
And trying to oil producers around the world cope with the financial fallout from the drop in oil prices from a peak reached in June last year. In Iraqi Kurdistan it matters worse because of the dispute with Baghdad, which has reduced the amount of money last year transformation of the territory, which made the region unable to pay employees’ salaries as well as benefits oil companies. Genel shares began trading, up 17 percent, while Gulf Keystone Petroleum has increased seven percent share climbed Norwegian DNO 10 percent after the statement.
Said John Ferrier, chief executive of Gulf Keystone that it is very optimistic after Iraq’s Kurdistan currently.“We need regular payments cycle to ensure Astdamtna and business expansion in the global Shaikhan field development. Today’s news represents a promising beginning of that process.”
She Gulf Keystone Petroleum yesterday that the Kurdistan Regional Government owes it the amount of $ 283 million for oil sales and other costs. June was the first month witnessed large independent sales since last December when the region reached an agreement with Baghdad to contribute to the amount of 550 thousand barrels per day in Iraq’s exports in 2015 compared to resume budget payments.
Were exported 516 thousand and 745 barrels per day on average from the region in July through a pipeline to the Turkish port of Ceyhan on the Mediterranean Sea did not get Sumo only on 71 and 17 thousand barrels per day from them.