Gulf Keystone Petroleum Ltd. (LSE:GKP) has confirmed receipt of its first allocation of top-up oil barrels from Iraq’s State Oil Marketing Organisation (SOMO), marking the commencement of payments intended to reconcile export revenues with international oil prices.
The allocation forms part of interim export arrangements established for international oil companies operating in the Kurdistan Region of Iraq. Under these agreements, additional oil barrels are provided to compensate producers for differences between their export sales proceeds and their contractual entitlements.
The first top-up cargo relates to Gulf Keystone’s oil exports from the fourth quarter of 2025 and represents an initial payment against the company’s outstanding top-up receivables.
According to Gulf Keystone, the mechanism is designed to align export sales entitlements with international oil prices, in accordance with amendments to Iraq’s federal budget law and the production-sharing contracts governing operations in the Kurdistan Region.
The company said the receipt of the first cargo represents progress in implementing the interim export arrangements between the relevant Iraqi and Kurdistan authorities and international oil producers.
Chief executive Jon Harris described the commencement of top-up payments as a milestone for Gulf Keystone and the wider Kurdistan oil industry.
Harris said the arrangements establish a mechanism for recognising producers’ contractual entitlements under the amended Iraqi budget framework and existing production-sharing agreements.
The company also indicated that implementation of the payment mechanism could support cooperation between the Kurdistan Regional Government and Iraq’s federal authorities, while providing greater clarity over export revenue arrangements for international operators.
Gulf Keystone continues to focus on the development of the Shaikan Field in the Kurdistan Region, where its operations are centred on oil production and the management of the field’s resource base.
The company considers the implementation of the top-up arrangements relevant to its ongoing development plans and the broader investment framework for oil production in Kurdistan.
The supplied announcement did not specify the volume or monetary value of the first top-up cargo, the total outstanding receivables or a timetable for further allocations.
About Gulf Keystone Petroleum Ltd.
Gulf Keystone Petroleum Ltd. (LSE:GKP) is an independent oil and gas exploration and production company focused on the Kurdistan Region of Iraq.
The company’s principal asset is the Shaikan Field, where it undertakes oil production and development activities.
Gulf Keystone is listed on the London Stock Exchange and the Oslo Stock Exchange under the ticker GKP.
Its operations are focused on developing the Shaikan Field’s oil resources and supplying production to export markets under the applicable contractual and regulatory arrangements.
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