Gazprom Neft Middle East, a subsidiary of Gazprom Neft, has agreed a development plan for the Sarqala field, Garmian block, with the Government of the Kurdistan Region of Iraq (KRI). Pursuant to the agreed plan, Gazprom Neft Middle East is to begin drilling a further production well, Sarqala-2, which — on the basis of seismic data — is expected to confirm the prognosis of the extent of the fracture zone. Data on the Sarqala-2 well will be used to fine-tune the geological model and allow decisions to be taken on pre-drilling studies (“rigging up”) for remaining wells.
First oil from the Garmian block was obtained in 2011, with commercial crude shipments from the field commencing as early as 2015. Total cumulative production as at 30 May 2016 stood at three million barrels of oil.
Gazprom Neft Middle East assumed operatorship of the Sarqala field (Garmian block) in early 2016 pursuant to a production sharing agreement (PSA) signed in 2012, the previous operator having been Canada’s Western Zagros Resources Ltd.
Gazprom Neft is currently involved in Commercial production at the Badra field commenced in August 2014.