DNO ASA, a prominent Norwegian oil and gas company, provided an important update on its operations in Iraq for the quarter. The company outlined key details about production volumes, local sales, and challenges caused by the Iraq-Türkiye Pipeline closure. Nevertheless, DNO ASA maintained its strong presence in Iraq and continued stable operations across all its fields and projects.
During the quarter, DNO ASA sold crude oil from the Tawke license directly to local buyers. The unexpected pipeline closure posed a significant challenge to its export activities and revenue plans. However, DNO ASA adapted quickly. Its operations ensured uninterrupted sales and avoided major disruptions to production and delivery schedules. Moreover, the company collected advance payments, transferring most directly into DNO ASA’s international bank accounts to secure steady cash flow and maintain strong liquidity throughout the period.
Furthermore, despite logistical hurdles and market uncertainty, DNO ASA successfully met strong local demand in the Kurdistan region. The company streamlined operations by securing upfront payments, protecting its revenue during uncertain times. This proactive strategy minimized disruption to revenue streams and strengthened overall financial stability. In addition, DNO ASA’s ability to continue steady sales highlights its effective management, operational flexibility, and strong local expertise. Strong and trusted relationships with local buyers further supported DNO ASA in maintaining consistent operations during this challenging period.
Looking ahead, DNO ASA remains fully committed to its operations in Iraq. The company has consistently demonstrated resilience, particularly after the pipeline closure. Its focus on local buyers and securing advance payments has proven highly reliable. Consequently, by monitoring the situation closely and adapting its strategies as needed, DNO ASA aims to sustain, strengthen, and grow its operations in the region for the long term.
In conclusion, DNO ASA shows significant resilience in Iraq, successfully navigating pipeline issues and maintaining critical activities. By securing advance payments and building strong partnerships, the company reinforces its operational stability and prepares for future growth and development.
