Business
Impact of Coronavirus (COVID-19) on operations
Impact of Coronavirus (COVID-19) on operations.
About this update from Gulf Keystone Petroleum Limited
[{"type":"text","content":"\n \n \n RNS Number : 1885G\n Gulf Keystone Petroleum Ltd.\n 16 March 2020\n \n \n \n \n \n \n \n 16 March 2020\n \n \n \n \n \n Gulf Keystone Petroleum Ltd. (LSE: GKP)\n \n \n (\"Gulf Keystone\", \"GKP\" or \"the Company\")\n \n \n \n \n \n Impact of Coronavirus (COVID-19) on operations\n \n \n Production operations currently unaffected\n \n \n The Company has been closely monitoring the Coronavirus (COVID-19) situation in the Kurdistan Region of Iraq. Gulf Keystone's priority is the welfare of its staff, contractors and the communities close to its operations. We remain committed to deliver safe operations, protection of the asset and the underlying business.\n \n \n In an attempt to limit the spread of Coronavirus (COVID-19), the Kurdistan Regional Government, in line with many other jurisdictions, has put in place a series of tight controls on the movement of personnel into and around the region. With these controls, along with the increasing global restrictions on movement, it has become difficult to ensure Gulf Keystone has the appropriate drilling personnel and equipment on site in order to continue safe drilling operations. Therefore, with the SH-13 well - the current well in the campaign - at a safe stage, the decision has been taken to suspend drilling activities until conditions improve to ensure safe operations. \n \n \n Production rates from the field are at c.38,000 bopd and production currently continues unaffected by the impact of Coronavirus (COVID-19). However, as a precaution, the Company has restricted the access to its production facilities. As a result, certain construction activities related to the expansion to 55,000 bopd have also been suspended until circumstances improve. \n \n \n The current situation is extraordinary and we believe that our actions protect the long-term value of the asset. The planned production increase to 55,000 bopd, scheduled for Q3 2020, and average production guidance for 43,000 - 48,000 bopd remain priorities. However, the suspension of drilling and certain expansion operations may impact Gulf Keystone's ability to meet these targets in the timeframes currently in place. Gulf Keystone will continue to closely monitor this fast-moving situation and will provide updates, as appropriate. As ...