Gazprom Neft admits the change of geological exploration schedule in Kurdistan

​Gazprom Neft admits the change of the geological exploration schedule in Kurdistan, the head for geological exploration and resource base development of Gazprom Neft, A. Vashkevich, said.

We assess the risks of Sarqala and Shakal, by Halabja we see an opportunity of a slight delay of the next stage of investment realizing that geological risks are very high. Now we say we don’t want to risk and take as much time as needed, he said.

Mr. Vashkevich said that in general by the expenditure for geological exploration the company saves the financing volume but reconsiders its plans by the geological risks.  Now we can’t risk and go to new research areas, he said.

Gazprom Neft got the projects in Kurdistan in 213 having signed the PSA by the Garmian and Shakal blocks in the south-west. In February 2013 the PSA by the Halabja block was signed.

The stake of Gazprom Neft in the Garmian block is 40%; in the Shakal and Halabja blocks is has 80% (operator of the project). The stake of the Government of Kurdistan in all 3 agreements is 20%. The PSA presupposes that the company will get a stake in the volumes of extracted oil. As of the end of 2013, geological reserves of 3 blocks make up over 1 bln tons of oil.