Dana Gas resumes operations at Iraq’s Khor Mor field as tensions calm

Dana Gas has resumed production at the Khor Mor gas facility in the Kurdistan Region of Iraq after weeks of intermittent operations, the company said on April 14.

The UAE-listed energy producer said it had taken precautionary operational measures during the disruption and had worked closely with government authorities throughout the period. It added that the safety of personnel and the protection of assets remained its main priority.

The company did not disclose the current level of output or provide further details on the cause of the interruptions, which had affected operations at one of the region’s key gas fields in recent weeks.

Khor Mor is an important energy asset for the Kurdistan Region, supplying gas used in power generation and playing a central role in meeting domestic electricity demand. Any disruption to production at the site is closely watched because of its wider importance to the regional energy system.

Dana Gas’s announcement signals a return to operations after a period of uncertainty, although it remains unclear whether output has fully returned to normal levels.

The resumption is likely to be welcomed by market observers and regional authorities, given the field’s role in supporting power supplies and broader energy stability.

Investors may now look for further updates from the company on production capacity and any additional measures taken to safeguard operations.

In October last year, Dana Gas and Crescent Petroleum jointly via the Pearl Petroleum consortium announced that commercial gas sales from the $1.1bn “KM250a” expansion project had begun eight months ahead of schedule. This project successfully increased production capacity by 50%, adding 250mn cubic meters of gas, or 48,000 barrels of oil equivalent per day. The expansion also aimed to boost daily condensate production to 7,000 barrels and LPG output to 460 tonnes, supplementing existing outputs.

The companies each hold a 35% stake, alongside OMV, RWE, and Hungary’s MOL, which hold 10% each. Hungarian analysts recently noted that the expansion strengthens MOL’s presence in a strategically important region, highlighting that the KRG remains a reliable and solvent partner despite the volatile security environment. They added that all stakeholders benefit from low production costs due to the field’s proximity to local power plants.