Distribution of company announcements to the professional platforms, finance portals and syndication of important corporate news to a wide variety of news aggregators and financial news systems.
DNO International ASA (OSL:DNO) DNO is pleased to report the production figures for July and year to date.
DNO's Working Interest (WI) production is for the third month in row above 20,000 bopd. DNO's WI production in July decreased slightly to 20,584 bopd from the peak production in June of 22,545 bopd. WI production for July 2008 is up 21 % compared to July last year.
*) As part of the change in Tawke PSC terms DNO was entitled an additional volume of 82,558 barrels produced from start of production in June 2007 until 12th March 2008. This additional volume is booked in 1st quarter 2008
The KRG has temporarily put on hold all the production for the local market in the Kurdistan Region, to enable the local authorities to review the licensing, compliances and uniformity of procedures applied to the small topping plant owners in order to regulate the manner that crude oil is supplied to them, including the crude oil pricing issues and the quality of the products generated by the topping plants. According to KRG it is expected that these formalities will be completed during August, with the oil production resuming by late August/early September.
To some extent this effected the production in July and based on the timing indicated by KRG there will be no production from Tawke in August. As previously reported key objectives for the test production which commenced June 2007 was preparing for export of oil as well as to gather reservoir information during production as early as possible to further optimize the production strategy and reservoir management of the field. The period during no test production provides a unique opportunity to acquire updated static pressure information across the field, and DNO has initiated a data acquisition program for such purpose.
The production figures include crude oil consumed in the operation of the Company's production facilities, at an accumulated volume of 340 bopd during July compared to 330 bopd during 2nd quarter 2008 and 306 bopd in 1st quarter.
The July and year to date net entitlement production and achieved oil price will be reported in mid-September together with the August production and drilling report.
An update of the ongoing drilling activities will be done as part of the second quarter interim report which will be released to the market on 20 August.
