DNO's Strategic Move in Kurdish Oil Export Agreement
Norway's DNO is exploring joining an agreement to export Kurdish crude oil via a pipeline to Turkey. Despite opting out last September, the executive chairman suggests rejoining could benefit all parties involved. DNO is also increasing production in Kurdistan, aiming for better pricing in future export arrangements.
Norway's DNO, a leading oil producer in Iraq's Kurdistan region, is contemplating joining an export agreement allowing companies to transport Kurdish crude to Turkey, previously halted for over two years. The decision comes after the company initially skipped a similar deal involving Iraq's federal government and regional authorities last September.
Executive Chairman Bijan Mossavar-Rahmani indicated potential interest from other companies and Iraq's state oil marketer, SOMO, in having DNO on board. Another path could involve a separate agreement with SOMO, independent of the tripartite pact, as DNO navigates through challenges amid Iraq's political changes.
DNO has ramped up drilling in its Tawke and Peshkabir fields, targeting increased output to approximately 100,000 barrels of oil equivalent per day. The firm plans to shift from local sales to securing higher prices through pipeline exports as early as 2026.
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