Dana Gas share of payments from Kurdistan region of Iraq rise 74% in first half

Company's share of collection from the joint venture rose to $80 million in the first six months of 2019

A Dana Gas facility in Iraqi Kurdistan, which is part of the company's business that is being considered for a demerger. The comapny's shareholders approved a dividend payment of Dh5.5 fils per share Show more

Sharjah's Dana Gas said payments for its operations from a joint venture in Iraq's Kurdistan region rose 74 per cent in the first half of the year.

The energy producer was paid $80 million (Dh293m) in dividends from Pearl Petroleum, in which it has a 35 per cent stake, Dana Gas said on Monday. Pearl Petroleum, which is majority owned by Dana Gas and its parent Crescent Petroleum, made the payments from the sales of condensate, LPG and gas in the Kurdish region of Iraq.

"Our flourishing partnership will bring about tangible benefits for the region, including the creation of more jobs and greater confidence in its hydrocarbon sector, which will ensure a flow of revenue into much-needed infrastructure," said Patrick Allman-Ward, chief executive of Dana Gas.

On Sunday, Dana Gas said its share of hydrocarbon reserves at Pearl Petroleum’s Khor Mor and Chemchemal fields in the Kurdistan Region of Iraq (KRI) increased by 10 per cent following a new re-certification of reserves.

An independently audited report, prepared by Gaffney Cline Associates (GCA) on behalf of Pearl Petroleum, showed the total share for Dana Gas is now equivalent to 1 billion barrels of oil equivalent, up from 990 million barrels of oil equivalent when GCA first certified the fields in April 2016. The measure is based on proved plus probable hydrocarbons.