Abu Dhabi – Mubasher: Dana Gas, listed on the Abu Dhabi Securities Exchange (ADX), revealed that its share of the proved plus probable (2P) hydrocarbon reserves at Pearl Petroleum Company’s Khor Mor and Chemchemal Fields in the Kurdistan Region of Iraq (KRI) grew by 10% following the recent certification of reserves by Gaffney Cline Associates (GCA).

According to an independently audited report conducted by Gaffney Cline on behalf of Pearl Petroleum, the total share for Dana Gas increased to 1,087 million barrels of oil equivalent (MMboe) from 990 MMboe when GCA first certified the fields in April 2016, according to a statement to the ADX.

Accordingly, the KRI’s fields could be the biggest in the whole of Iraq, the ADX-listed company said, adding that the reserves increased for the first time in part by the booking of oil reserves in the Khor Mor Field.

“GCA’s most recent report confirmed that Dana Gas’s share of the Khor Mor and Chemchemal 2P reserves was 4.4 trillion cubic feet gas (2016: 5.3 Tcf), 136 million barrels of condensate (2016: 109 MMbbls), 13.3 million metric tonnes LPG and 18 MMbls of oil, the equivalent of 1,087 MMboe, as compared to 990 MMboe in April 2016,” the statement highlighted.

Earlier in the year, Pearl Petroleum signed a 20-year gas sales agreement (GSA) with the KRG for producing and selling an additional 250 MMscf/d.

Pearl Petroleum plans to boost its output to 650 MMscf/day in 2022, and then to 900 MMscf/day by 2023 from the current 400 MMscf/day.

The two new gas production trains will achieve between $175 to $200 million to the company’s share of revenue and project’s cash flows per annum, with the price of oil ranging between $60 and $70 per barrel.

Dr Patrick Allman-Ward, CEO of Dana Gas, said: “The Gaffney Cline report has independently confirmed Dana Gas’ 2P reserves in our KRI assets at over 1 billion barrels of oil equivalent and our belief that the Khor Mor and Chemchemal Fields will most likely be the biggest gas fields, not just in the Kurdistan Region Iraq, but the whole of Iraq, making them world-class assets.”

“It is also satisfying to see that our auditors have formally booked oil reserves for the first time in Khor Mor. We believe that this is just the tip of the iceberg confirming our estimate of oil resource potential of over 7 billion barrels,” he added.