Norwegian oil and gas company DNO reported improved production in 2017 from the Kurdistan region as well as higher reserves and said it will outperform all of its rivals combined.
Working interest production last year rose to 73,700 barrels of oil equivalent per day (boepd) from 69,200 boepd in 2016, the company said in a statement. Operated production in 2017 was 113,500 boepd, up from 112,600 boepd in 2016 with lifting costs averaging US$3.6 per barrel of oil equivalent.
"We are committed this year to continue to outdrill, outproduce and outperform all other international companies in Kurdistan - combined," DNO's executive chairman Bijan Mossavar-Rahmani said.
DNO's production continues to be driven by the Tawke field in Kurdistan, where output in 2017 averaged 105,500 barrels of oil per day (bopd). The adjacent Peshkabir field, brought on stream midyear, contributed another 3,600 bopd to bring total Tawke license production to 109,100 bopd in 2017.
The company announced plans to boost production from the license with 10 new wells in 2018.
DNO said it 2017-end CWI 1P reserves climbed to 240 million barrels of oil equivalent (MMboe) from 219 MMboe at end of 2016, after adjusting for production during the year, technical revisions and an increase in DNO's operated stake in the Tawke license from 55 percent to 75 percent.
On a 2P basis, DNO's CWI reserves stood at 384 MMboe (up from 368 MMboe) and on a 3P basis, DNO's CWI reserves stood at 666 MMboe (up from 521 MMboe). DNO's year-end 2017 CWI contingent resources (2C) were estimated at 99 MMboe, down from 161 MMboe at year-end 2016, following reclassification of certain contingent resources to reserves.
On a gross basis, at year-end 2017, 1P reserves at the Tawke license containing the Tawke and Peshkabir fields totaled 348 MMboe (353 MMboe at end of 2016) after adjusting for production of 40 MMboe during the year and technical revisions; 2P reserves totaled 513 MMboe (536 MMboe at yearend 2016); 3P reserves totaled 880 MMboe (725 MMboe at yearend 2016) and 2C resources totaled 91 MMboe (211 MMboe at yearend 2016) following reclassification.