Gulf Keystone has revealed that Hungarian oil and gas firm MOL has relinquished the licence covering the Akri-Bijeel block in Iraq,.
Gulf Keystone has 20% stake in the block situated in Kurdistan. MOL said it had made the decision following an agreement with partners Gulf Keystone Petroleum and the Kurdistan regional government.
MOL said the decision was the result of a comprehensive assessment of the block potential, and Gulf Keystone confirmed it signed the relinquishment and termination agreement of the production sharing contract.
Gulf Keystone’s main operation is the Shaikan field, which is unaffected by the MOL decision. The company is working on formalising a permanent payment plan from the regional government for the oil it exports out of the country through the Iraq-Turkey pipeline.