Report on Payments to Governments for 2022 (1619011)
28 April 2023 - 8:00AM
UK Regulatory
Gulf Keystone Petroleum Ltd (GKP) Report on Payments to
Governments for 2022 28-Apr-2023 / 07:00 GMT/BST
-----------------------------------------------------------------------------------------------------------------------
28 April 2023
Gulf Keystone Petroleum Ltd. (LSE: GKP)
("Gulf Keystone", "GKP" or "the Company")
Report on Payments to Governments for 2022
Introduction
This report sets out details of the payments made to governments
by Gulf Keystone Petroleum Ltd and its subsidiary undertakings
("Gulf Keystone") for the year ended 31 December 2022 as required
under Disclosure and Transparency Rule 4.3A issued by the UK's
Financial Conduct Authority ("DTR 4.3A") and in accordance with The
Reports on Payments to Governments Regulations 2014 (as amended in
2015) ("the UK Regulations") and our interpretation of the Industry
Guidance on the UK Regulations issued by the International
Association of Oil & Gas Producers. DTR 4.3A requires companies
listed on a stock exchange in the UK and operating in the
extractive industry to publicly disclose payments to governments in
the countries where they undertake exploration, prospection,
discovery, development and extraction of minerals, oil, natural gas
deposits or other materials.
Basis for preparation
Total payments below GBP86,000 made to a government are excluded
from this report, as permitted under the UK Regulations.
All of the payments made in relation to the Shaikan Production
Sharing Contract ("Shaikan PSC") in the Kurdistan Region of Iraq
have been made to the Ministry of Natural Resources ("MNR") of the
Kurdistan Regional Government ("KRG").
Production entitlements
Production entitlements are the host government's share of
production during the reporting period from the Shaikan Field
operated by Gulf Keystone. The figures reported have been produced
on an entitlement basis, rather than on a liftings basis.
Production entitlements are paid in-kind and the monetary value
disclosed is derived from management's estimates based on the
monthly oil sales invoices.
Royalties
Royalties represent royalties paid in-kind to governments during
the year for the extraction of oil. The terms of the royalties are
described within the Shaikan PSC. Royalties have been calculated on
the same basis as production entitlements.
Licence fees and capacity building payments
These include licence fees, rental fees, entry fees, capacity
building payments, security fees and other considerations for
licences or concessions.
Infrastructure improvement payments
These include payments for infrastructure improvements, whether
contractual or otherwise, such as roads, other than in
circumstances where the infrastructure is expected to be primarily
dedicated to operational activities throughout its useful life.
Summary of payments
2022
Production entitlements in-kind(1) (mboe(2)) 5,280
Production entitlements in-kind(1) (USD'000) 392,974
Royalties in-kind(1) (mboe(2)) 1,292
Royalties in-kind(1)(2) (USD'000) 96,136
Licence fees and capacity building payments in-kind(3) (USD'000) 25,009
Infrastructure improvement payments(4) 732
Total (mboe(2)) 6,571
Total (USD'000) 514,851 1. All of the crude oil produced by Gulf Keystone was sold by the KRG. All proceeds of sale were received byor on behalf of the KRG, out of which the KRG then made payment for cost oil and profit oil in accordance with theShaikan PSC to Gulf Keystone, in exchange for the crude oil delivered to the KRG. Under these arrangements,payments were made by or on behalf of the KRG to Gulf Keystone, rather than by Gulf Keystone to the KRG. However,for the purposes of the reporting requirements under the UK Regulations, we are required to characterise the valueof the KRG's production entitlements under the Shaikan PSC (for which the KRG receives payment directly from themarket) as a payment to the KRG. 2. Thousand barrels of oil. 3. Capacity building payments are deducted from the monthly crude oil sales invoice, no direct payment ismade to the KRG. The value of licence, rental and security fees has been accrued and is not expected to be paid,but rather offset against historic revenue due from the KRG, which have not yet been recognised in the financialstatements. 4. Wheat improvement measures and training of farmers, hydroponic fodder units, drilling of water wells,construction of water supply network and purchase of generators.
Enquiries:
Gulf Keystone: +44 (0) 20 7514 1400
Aaron Clark, Head of Investor Relations aclark@gulfkeystone.com
FTI Consulting +44 (0) 20 3727 1000
Ben Brewerton
GKP@fticonsulting.com
Nick Hennis
or visit: www.gulfkeystone.com
Notes to Editors:
Gulf Keystone Petroleum Ltd. (LSE: GKP) is a leading independent
operator and producer in the Kurdistan Region of Iraq. Further
information on Gulf Keystone is available on its website
www.gulfkeystone.com
-----------------------------------------------------------------------------------------------------------------------
Dissemination of a Regulatory Announcement, transmitted by EQS
Group. The issuer is solely responsible for the content of this
announcement.
-----------------------------------------------------------------------------------------------------------------------
ISIN: BMG4209G2077
Category Code: MSCM
TIDM: GKP
LEI Code: 213800QTAQOSSTNTPO15
Sequence No.: 240035
EQS News ID: 1619011
End of Announcement EQS News Service
=------------------------------------------------------------------------------------
Image link:
https://eqs-cockpit.com/cgi-bin/fncls.ssp?fn=show_t_gif&application_id=1619011&application_name=news
(END) Dow Jones Newswires
April 28, 2023 02:00 ET (06:00 GMT)
Gulf Keystone Petroleum (AQSE:GKP.GB)
Historical Stock Chart
Von Dez 2024 bis Jan 2025
Gulf Keystone Petroleum (AQSE:GKP.GB)
Historical Stock Chart
Von Jan 2024 bis Jan 2025
