Shafaq News- Erbil

London-listed Gulf Keystone Petroleum said on Tuesday that production at its Shaikan oil field in the Kurdistan Region had resumed and was approaching 40,000 barrels per day, as it declared a $10 million interim dividend.

In its half-year results, the company said interim export agreements between international oil companies, Iraq’s federal government and the Kurdistan Regional Government had been extended for six months through the end of January 2027, allowing negotiations to continue on longer-term agreements based on international prices.

Chief Executive Jon Harris said the company had resumed production and exports following the extension, with volumes gradually returning toward previous levels after “significant regional disruption.”

Gross production averaged 14,600 barrels per day (bpd) in the first half of 2026, down from 44,100 bpd a year earlier, largely because of a precautionary shutdown from Feb. 28 to June 23 amid regional security concerns. Production restarted on June 24 and rose above 45,000 bpd before a second precautionary shutdown from July 19 to Aug. 15.

The Shaikan field restarted again on Aug. 16, with output now approaching 40,000 bpd, the company said. Gulf Keystone also declared a $10 million interim dividend, equivalent to $0.046 per share, to be paid on Sept. 28.

Shaikan, one of the Kurdistan Region’s largest oil fields, has estimated gross proved and probable reserves of 416 million barrels. Gulf Keystone operates the 280-square-kilometre field with an 80% stake, alongside Hungary’s MOL with 20%. Commercial production began in 2013, and cumulative output has since exceeded 155 million barrels.