Gulf Keystone has unveiled a significant upgrade of the gross oil-in-place volumes for the Shaikan field in the Kurdistan Region of Iraq to a mean value of 13.7bn barrels.
The field has between a probable value of 12.4bn barrels to proven value of 15bn barrels of oil-in-place, giving an average of 13.7bn, compared to the previously announced range of 8.0 to 13.4bn barrels with a mean value of 10.5bn barrels.
The upgrade is based on data acquired since the last resource evaluation in November 2011 and is the fourth successive upward revision since the Shaikan discovery was announced in August 2009.
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The upgrade represents a much tighter distribution of the Shaikan gross oil-in-place volumes, with the probable value having increased by 4.4bn barrels and the mean value of the gas-in-place having increased from 3.5trn cubic feet to 4.9trn cubic feet.
John Gerstenlauer, Gulf Keystone's Chief Operating Officer, said: "Sometimes people get complacent about our operational track record. This latest upgrade, which now includes results from the Shaikan discovery well and five appraisal wells, is a timely reminder about Gulf Keystone's stellar drilling performance in the Kurdistan Region of Iraq.
"Such results are rarely heard of in the industry today and we are still to explore the deeper Triassic and Permian horizons with the Shaikan-7 exploration well and account for the potential oil volumes in the Cretaceous to the north of the field.
"This success is both a function of the field, which is a giant by any measure, and of the team we have in place, both on the ground and in the company's offices, which is progressing the move from the appraisal phase to the large-scale staged 400,000+ barrels of oil per day development. As exploration and development activities in the region continue to go from strength to strength, more and bigger players are beginning to see the potential of the region, and Shaikan undoubtedly remains the jewel in the crown."
The share price rose 3.18% to 219p by 10:55.
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