Genel Energy Plc receives March oil payments from KRG

() noted the receipt of payments from the Kurdistan Regional Government (KRG) covering oil sales in March 2021.

The company, in a statement, said it had received a total of US$19.8mln from the KRG.

It comprises US$14.3mln for sales from the Tawke asset, US$2.1mln and US$3.4mln from the Taq Taq and Sarta field’s respectively.

The company noted, as previously announced, that Genel and other Kurdistan operators had received a letter from the KRG proposing an amendment to the recovery mechanism and payment schedule for monies owed for oil sales (for the period between November 2019 to February 2020) and suspend override payments from March to December 2020.

It added that it has not yet received payments for March’s invoices under the recovery mechanism, and, it is engaging with the KRG about the proposed amendments.

“Assuming the proposed revision to the terms of recovery stands, the recovery payment will be $3.1 million. The override payment will be $8.2 million,” the company said.

“Given the proposed new schedule, Genel expects to receive both payments shortly.”