As if the ongoing outage of the Kurdistan Regional Government’s (KRG’s) crude oil export pipeline since 16 February (MEES, 26 February) wasn’t enough, the addition of a 29th day to February ensured that the month lasted just long enough to include Anglo-Turkish firm Genel’s slashing of estimated proven and probable (2P) reserves at its Taq Taq field, which at least until recently was producing well over 100,000 b/d, close to a quarter of the region’s total output.
Genel shares tumbled by around 40% after it announced on 29 February that Taq Taq’s original 2P reserves were being cut by 48%. The original 2P reserves as calculated in 2011 were 683mn barrels, but this was revised down to 356mn barrels, meaning that as of 31 December 2015, they stood at 172mn. With production as of 31 December 2015 totaling 184mn barrels, Genel has already extracted more than half of Taq Taq’s recoverable crude oil. (CONTINUED - 1929 WORDS)