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Who We Are
Kuwait Energy is an independent oil and gas company acƟvely engaged in the exploraƟon, appraisal, development
and producƟon of hydrocarbons. Since establishment in 2005, we have built a high-quality, diversified porƞolio of
oil and gas assets in the MENA region across Iraq, Egypt, Yemen and Oman. Our MENA porƞolio consists of 10
exploraƟon, development and producƟon assets, of which we operate seven.
Kuwait Energy has its registered office in Jersey, its head office in Bahrain, its regional operaƟonal hub in Kuwait and
area offices in Basra, Baghdad, Cairo and Sana’a.
Key Highlights
No recordable Lost Time Incident
(“LTI”) took place in Kuwait Energy’s operated areas during the quarter
with two of Kuwait Energy’s main operated areas (SIBA, Block 9)
achieving over three million man-
worked hours since the last LTI,
and another main operated area (Burg El Arab)
achieving over two
million hours
.
Average daily Working Interest
(“WI”)
producƟon
for 2016 is
24,573 boepd (Q4 average WI producƟon
was 26,041 boepd)
; a decrease of 1.7%, as compared to 2015 mainly due to EgypƟan natural decline and
suspension of Yemen producƟon.
The total 2016 WI producƟon volume was just under 9 mmboe (Q4
producƟon was approximately 2.4 mmboe), which is above the target set for the year
.
Kuwait Energy
received its first Iraqi oil cargo
of 525 kbbl (gross)
. This payment covered Kuwait Energy’s
Block 9 enƟtlement from October 2015 to June 2016. Having gone through the full payment cycle from
billing the Iraqi government for Block 9 producƟon to having payment in the Kuwait Energy bank account
the Company is now able to
forecast and factor into its planning future Iraqi payments
.
Kuwait Energy signed a US$100 million finance facility in the form of a Forward Sales Agreement with
Vitol
. The iniƟal drawdown of US$40 million was received in December 2016 and will be used primarily to
finance the expedited drilling of Block 9
.
Kuwait Energy, on
24 October 2016,
signed a Farm-Out Agreement for 20% cost and 15% revenue interest
of its Siba (Iraq) asset
to the EgypƟan General Petroleum Company (“EGPC”), strengthening the company’s
Ɵes with a key strategic regional partner. The agreement remains subject to pre-empƟon and Iraqi
government approvals.
Kuwait Energy also
announced the signing, on 15 December 2016, of a Farm-Out Agreement with Global
Connect for a 25% cost and revenue interest in Abu Sennan (Egypt)
. The agreement not only brings a
new partner to the area, but also provides a partner with a wealth of experience to assist in future
development and exploraƟon. The agreement remains subject to pre-empƟon and EgypƟan government
approvals.
Financial ReporƟng
All of our quarterly and annual financial reports are available on the Kuwait Energy website (
www.kuwaitenergy.co ).
The most recent financial report was issued on 30
th
September 2016 for unaudited 9 month 2016 financials, and the
next financial report will be for the audited YE 2016 accounts scheduled to be issued in April 2017.
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