DNO Welcomes Prospects for Iraq-Türkiye Pipeline Export Resumption

DNO ASA has welcomed reports of agreements to restart crude exports through the Iraq-Türkiye Pipeline, while stressing the need for payment guarantees to cover arrears and future shipments.

(P&GJ) — DNO ASA said it welcomes reports of agreements between the Federal Government of Iraq, the Kurdistan Regional Government, and international oil companies to restart crude exports through the Iraq-Türkiye Pipeline.

The Norwegian operator has consistently emphasized that resumption must be tied to agreements ensuring payment security for both arrears and future exports under its production sharing contracts in Kurdistan.

“DNO’s exposure is different than that of other international oil companies,” said Executive Chairman Bijan Mossavar-Rahmani. “Importantly, as the largest producer, the arrears owed to us by the KRG dwarf those of many of the others, which also means that our exposure to future payment risk is also substantially higher than any other company.”

Mossavar-Rahmani added that DNO has made proposals to Erbil to address the issue through what he described as “easy fixes that can be quickly agreed.”

The company, along with joint venture partner Genel Energy International Limited, has increased spending on repairs to the Tawke and Peshkabir fields following drone attacks in July 2025. DNO plans to drill eight new wells in 2026 at the Tawke license, aiming for gross operated production of up to 100,000 barrels per day.

Currently, DNO sells its net entitlement share of oil on a cash-and-carry basis, transported by road tankers to local refineries at prices in the low $30s per barrel.