Abu Dhabi – Mubasher: Dana Gas and Crescent Petroleum, a private oil and gas company in the Middle East, have resumed the expansion project at the Khor Mor field in the Kurdistan Region of Iraq (KRI), operated by both companies on behalf of the Pearl Petroleum consortium.

The expansion project includes a further $600 million investment to add 250 million cubic feet per day of gas production to supply the local power stations, according to a press release on Monday.

The project construction was suspended amid the coronavirus (COVID-19) pandemic, but it was resumed for a new target start date of April 2023, following the agreement to lift the force majeure with the Kurdistan Regional Government (KRG) and the US contractor Exterran. 

The current production at the field is 440 million cubic feet per day of natural gas, 15,700 barrels per day of condensate, and 1,020 tonnes of liquified petroleum gas (LPG).

The companies plan to add further KM500 train to raise the production to almost 1 billion cubic feet per day by 2024.

The to-date investments exceed $2 billion with total cumulative production of over 332 million barrels of oil equivalent (boe), which has resulted in fuel cost savings and economic benefits for the Kurdistan Region and Iraq.

The CEO of Crescent Petroleum and Board Managing Director of Dana Gas, Majid Jafar, said: "After a year of delay due to the COVID pandemic, we are pleased to fully resume the KM250 expansion project to invest $600 million and grow the gas production almost 60% within 2 years from now, supporting the local electricity provision even further."

The CEO of Dana Gas, Patrick Allman-Ward, commented: "The continuing receipt of payments in a timely manner gives confidence for our continued investment commitment as we enter the next exciting phase of growth with the Khor Mor expansion, which will be carried out under strict health protocols to ensure the safety of our staff and service providers."