LONDON, April 28 (UPI) -- Gulf Keystone Petroleum, which focuses on oil in the Kurdish north of Iraq, has been "stoic" amid dual threats from terror and a weak market, an executive said.
The company operates the Shaikan oil field in the Kurdish north of Iraq, where last year it achieved its objective of producing 40,000 barrels of oil per day despite looming threats from the group calling itself the Islamic State.
Chairman Andrew Simon said the year was not without its pitfalls as payment disputes with the Kurdish government and low price for oil left it with a weak revenue stream. In April, the company grossed $40.6 million through a share offering and Simon said prudence would govern operations moving forward.
"Despite the recently challenging geopolitical backdrop and the low oil price environment that have affected the Kurdistan region and the oil industry as a whole, our operational story has remained stoic," he said.
Full-year 2014 gross production for the company was 6.4 million barrels of oil.
The company in March resumed production from the Shaikan reserve area in the Kurdish north of Iraq after receiving payments for future crude oil sales. With a focus on improving value for shareholders, executives at the London-based explorer said they were working on maintaining a stable payment cycle with the Kurdish government and were considering the sale of non-core assets as well as the company itself.
"The company is continuing to engage in discussions with interested parties in relation to possible asset transactions or a sale of the company, as well as consider additional routes to secure further funding," Simon said.
The next production target for the Shaikan reserve area is 70,000 bpd.
