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OperaƟons
Kuwait Energy conƟnues to
focus on the MENA region
with a direct presence in Iraq, Egypt, Yemen and Oman.
In Block 9 (Iraq), the
Faihaa-4 well,
which was
spud on 21 April 2017
, has seen drilling acƟviƟes advance significantly;
it is anƟcipated that
producƟon from the well will commence before the end of Q3 2017
. The Company has
commenced the planning for
Faihaa-5 and spudding is expected in Q4 2017.
A direct result of the increased well
count at Block 9 is that the Company will have the opƟon to either decrease the periods between crude payments,
or alternaƟvely take up the
opƟon of larger crude cargo shipments from the Iraqi State Oil MarkeƟng Company
(“SOMO”)
.
Key to the development of the Block 9 asset has been the Vitol
Forward Sales Agreement, signed in December 2016.
The latest drawdown
from the facility in mid-May 2017 will aid the Company in financing the Faihaa-5 drilling, 3D
seismic studies of the Block and future planned drilling acƟviƟes at the concession.
The Siba (Iraq) Gas Plant’s Engineering, Procurement and ConstrucƟon (EPC) works
are ongoing and nearing
compleƟon. The Company
anƟcipates that first gas will now be Q1 2018,
where the facility will iniƟally be processing
50 mmscfd per day, before ramping up to a plateau of 100 mmscfd
.
In Egypt, Kuwait Energy will conƟnue its
well management and work over program
to opƟmize producƟon from its
mature assets. The Abu Sennan
Farm-Out to Global Connect
, announced in the last OperaƟon AcƟvity Report
(“OAR”), should
receive government and pre-empƟon approval by the end of Q3 2017
.
In Yemen, Kuwait Energy conƟnues to monitor the situaƟon and is
operaƟonally-ready to
commence producƟon
when the situaƟon permits.
Sustainability
As part of our HSSE efforts, Kuwait Energy conƟnues to apply the leading HSSE audiƟng programs; as shown by
Egypt’s Area A and Cairo Office’s
recerƟficaƟon of their ISO 14001 and OHSAS 18001 cerƟficaƟon
in July 2017.
O
UTLOOK