Consortium signs $250 million agreement for expansion of plant in the Kurdistan Region of Iraq

Pearl Petroleum Company, the consortium led by Dana Gas and Crescent Petroleum of the UAE, said it signed a US $250 million finance agreement with the U.S. International Development Finance Corporation (DFC) to support the gas expansion at the Khor Mor gas plant in the Kurdistan Region of Iraq (KRI), currently on track for completion by April 2023.

The KM-250 project is the first stage of a two-train expansion project at Khor Mor which aims to boost total production capacity to approach 1 billion scf/day.

DFC financing will aid an increase in gas production capacity by 50 percent to 690 million standard cubic feet (scf)/day which will help meet rising demand for clean natural gas for electricity generation and industry in the KRI.

The total cost of the project is US $630 million, the remaining amount has already been secured through a regional bank facility and the EPC contractor, said the consortium in a statement.