26/09/2025
FOR IMMEDIATE RELEASE
Dallas, TX, Sep 26, 2025
HKN Energy Welcomes Agreement to Resume Exports and Clarifies Certain Provisions of the Agreement
HKN commends Prime Minister Mohammed Shia’ Al-Sudani for his decisive leadership in making this breakthrough possible. We are grateful for the vital role played by Prime Minister Masrour Barzani, whose steadfast partnership and determination were essential to reaching this agreement. We are particularly thankful for PM Sudani's Chief of Staff and PM Barzani's Head of Diwan in spearheading productive negotiations over these last several months.
Matthew Zais, VP of HKN Energy, stated:
“The reopening of the Iraq–Türkiye Pipeline is a vital step for Iraq, the Kurdistan Region, and international investors. We are grateful for the leadership shown by Prime Minister Sudani and Prime Minister Barzani, and for the critical support of the U.S. Government. This agreement provides an important interim path forward, and we remain committed to full implementation that ensures stability and prosperity for all stakeholders.”
All parties have mutually agreed to an internationally recognized independent consultant who will review assets, infrastructure, oil quality, and volumes, in order to affirm appropriate total compensation to IOCs versus amounts owed under existing commercial contracts and models. An interim compensation amount is based on a $16 per barrel payment (to cover production and transportation costs) for all barrels exported from Kurdistan - these amounts will be fully allocated to IOC's which we expect will approximate the current price for local sales. A subsequent adjustment will be made based on the Consultant's work, which we believe will yield an export market price for HKN's entitlement.
This agreement is an interim step. Full implementation will be key to ensuring the long-term stability of exports and the prosperity of both Iraq and the Kurdistan Region. HKN Energy remains committed to working with all parties to achieve these goals.
