Dana Gas and Crescent Petroleum resume expansion of the Khor Mor field in Kurdistan
Dana Gas and its partner, Crescent Petroleum, announced that they have resumed the expansion project in the Khor Mor field in the entire Kurdistan region of Iraq.
The project, which the two companies operate on behalf of the Pearl Petroleum consortium, involves an additional $ 600 million in investment to increase gas production by 250 million standard cubic feet per day to meet the urgent domestic need for energy supplies.
The construction work of the project was postponed due to the "Corona" pandemic and has now resumed in preparation for the start of production in April 2023, following the agreement with the Kurdistan Regional Government.
Under the gas sale agreement that Pearl Petroleum concluded with the Ministry of Natural Resources of the Kurdistan Regional Government in March 2019, the consortium will sell additional gas supplies that feed power plants with cleaner, low-cost fuel, which enhances the electricity production potential in the Kurdistan Region of Iraq and covers the gas produced by the two companies at the same time. The current is more than 80% of the electricity production operations in the region.
The average daily production in the "Khor Mor" field is 440 million cubic feet of natural gas, in addition to 15700 barrels of condensate and 1020 tons of liquefied petroleum gas, or a total of 110,400 barrels of oil equivalent per day, which makes it the highest production project in the region and the largest project undertaken by a private company. To produce and develop gas in Iraq.
Plans have been put in place to boost the production of the Khor Mor project by adding a second unit with a capacity of 250 million cubic feet, which will raise the total gas production of the project to about one billion cubic feet per day by 2024.
To date, the total investment in the project exceeds two billion dollars, with a cumulative production of more than 332 million barrels of oil equivalent. The use of gas in generating electricity has saved huge costs for the Kurdistan region and Iraq as a whole, and achieved significant economic benefits for local communities. It also contributed to avoiding 43 million tons of second emissions. Thanks to the replacement of carbon dioxide sources of liquid fuels, and this had a positive role in dealing with the global problem of climate change and reducing air pollution at the local level.
The CEO of Crescent Petroleum and Managing Director of Dana Gas, Majid Jafar, said that after a year of delayed business as a result of the pandemic, we are pleased to fully resume the expansion project in Khor Moor and have invested $ 600 million to raise the level of gas production by almost 60% within two years from today. For domestic electricity supply.
On his part, CEO of "Dana Gas", Dr. Patrick Allman Ward, said: "We are proud to enhance our investment in cooperation with our partners in (Pearl Petroleum) to develop the gas sector in the Kurdistan region of Iraq to provide its residents with a sustainable source of clean energy and support the growth of its local economy."
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