Gulf Keystone Petroleum, an independent oil producer operating in the Kurdistan Region of Iraq, says the Shaikan Field has been offline since 28 February following a precautionary shut-in driven by the security environment.
Cash stood at $66 million as of 18 June, with the company noting that recent drawdowns are being partially offset by ongoing receivables recovery for production up to the shutdown date, including an additional payment expected from a June lifting.
Monthly cash burn has been reduced by almost 50%, with nearly all capital projects slowed or suspended except safety-critical work and the installation of water handling at production facility PF-2.
Full-year guidance for 2026 has been withdrawn pending a production restart, with the company stating it will reinstate guidance once output has resumed and stabilised.
On the path back to operations, Gulf Keystone said the signing of a framework agreement between the US and Iran was among the recent developments it found encouraging, and that it is working with both the Kurdistan Regional Government and the Federal Government of Iraq to secure the conditions required to safely restart.
"The recent developments in the regional security environment, including the signing of the framework agreement between the U.S. and Iran, have been encouraging," said Chief Executive Jon Harris.
Discussions on a revised Shaikan Field Development Plan with Kurdistan's Ministry of Natural Resources are continuing alongside efforts to extend current export agreements at international prices.
