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Gulf Keystone Petroleum Ltd on Friday reported ‘robust local sales demand’ and confirmed its production guidance for 2025. Gulf Keystone is an oil producer in Kurdistan region of Iraq. At its annual general meeting on Friday, Gulf Keystone reported gross average production of 44,900 barrels of oil per day in 2025 so far. It said production has been supported by local market demand and optimisation initiatives, which have offset field declines and well maintenance. Gulf Keystone left its 2025 production guidance unchanged. It expects gross average production between 40,000 and 45,000 barrels per day. This will be steady to up from 40,689 barrels in 2024. The planned shutdown of the PF-2 well has been deferred from the fourth quarter of 2025 to the second quarter of 2026, to support production. Gulf Keystone noted that production guidance remains subject to local demand. Realised prices have remained between $27 and $29 per barrel, despite recent fluctuations in the Brent oil price, which stood at $76.77 a barrel on Friday. Free cash flow has been supported by ‘continued disciplined capital expenditures’ and strict cost control, Gulf Keystone said. Net capital expenditure and cost guidance also was unchanged, with operating costs expected between $50 million and $55 million. Gulf Keystone Petroleum said it ‘continues to engage’ with government stakeholders on a solution to restart Kurdistan crude exports through the Iraq-Turkey pipeline. ‘The company remains ready to resume oil exports provided we have agreements on payment surety for future oil exports, the repayment of outstanding receivables and the preservation of current contract economics,’ it said. Chief Executive Officer Jon Harris said: ‘While we have seen no material impact on Shaikan Field operations to date, we are closely monitoring the developing conflict between Israel and Iran. We are also continuing to engage with government stakeholders regarding an exports restart solution. While there remains no timeline, we are hopeful of ultimately reaching an agreement.’ Shares in Gulf Keystone Petroleum were down 1.1% at 159.80 pence on Friday morning in London. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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