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8
OperaƟons
Kuwait Energy conƟnues to
focus on the MENA region
with a presence in Iraq, Egypt, Yemen and Oman.
In Iraq, the
Faihaa-3 well
in Block 9 is scheduled to be online in Q1 2017, and is anƟcipated to add to producƟon
volumes from the block.
Having successfully received our first Iraqi payment,
Kuwait Energy was able to sign the Vitol Forward Sale
Agreement
in December 2016. This Agreement will allow Kuwait Energy to finance the next stage of Block 9’s
development with the drilling of more wells in 2017, and
provides the Company with a buyer for its future Iraqi
crude payments
. AddiƟonally Kuwait Energy
anƟcipates another Iraqi crude payment
in 1H 2017.
In 2016, the Faihaa field producƟon offloading capacity was limited to around 12,000 bopd gross; however with the
ongoing
upgrade of the offloading faciliƟes
this will
increase to around 20,000 bopd gross
in 2017.
The Siba Gas Plant’s
Engineering, Procurement and ConstrucƟon
(EPC) works
are ongoing and progressing on the
ground with
producƟon anƟcipated for mid-2017
. With the
Farm-Out to EGPC
, Kuwait Energy has brought in a key
regional partner who will add value to both the business and asset going forward. The agreement remains subject
to pre-empƟon rights and government approvals.
In Egypt, Kuwait Energy will conƟnue its
well management and workover program
to opƟmize producƟon from its
mature asset porƞolio.
With the recent
Farm-Out of Abu Sennan,
Global Connect is expected to bring in a wealth of technical knowledge in
the development of the asset, and allows both Kuwait Energy and Global Connect to combine experƟse and
resources
for future exploraƟon within the area
. The agreement remains subject to pre-empƟon rights and
government approvals.
In Yemen, Kuwait Energy conƟnues to monitor the situaƟon and is
operaƟonally-ready to
commence producƟon
when the situaƟon permits.
Sustainability
As part of our HSSE efforts, Kuwait Energy conƟnues to apply the leading HSSE audiƟng programs; as shown by the
Groups
recerƟficaƟon of the ISO 14001 and OHSAS 18001 cerƟficaƟon
during 2016.
O
UTLOOK