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Lukoil breaks even at West Qurna-2

12th June 2014

Lukoil Overseas (the operator of Lukoil's overseas upstream projects) has informed Iraq’s Ministry of Oil that it has fulfilled its contractual obligations for first commercial production at West Qurna-2

Lukoil breaking even at West Qurna-2
Daily oil production at West Qurna-2 is currently above 200 thousand barrels

Lukoil, the Operator of the West Qurna-2 project, successfully maintained an average daily production of at least 120 thousand barrels for 90 days, entitling it to begin recovering costs and receive remuneration.

Daily oil production at West Qurna-2 is currently above 200 thousand barrels.

“The West-Qurna-2 project is developing at a fast pace, and production is going up,” said Andrey Kuzyaev, vice president of Lukoil and president of Lukoil Overseas. “As of today, the project has reached another milestone by paving the way for Lukoi; to receive contractual remunerations.

“Timely cost recovery for the early oil phase will enable the Operator to proceed to active implementation of the subsequent phases of the field development.”

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