Erbil, August 10 (AKnews) – Gulf Keystone has stuck a well in Kurdistan that could yield 1.9 billion barrels of oil.
The Sheikh Adi well is close to Gulf’s giant discovery at Shaikan estimated at 4.9bn to 10.8bn barrels.
Shares in the oil company jumped 6 per cent yesterday.
John Gerstenlauer, chief operating officer of Gulf Keystone, said: “The Sheikh Adi oil in place numbers are all the more significant due to our 80pc interest in the block”.
The claim has been brought by Excalibur Ventures LLC, described on its website as offering advisory services related to Iraq and run by a former security consultant, Rex Wempen.
Excalibur is claiming that it introduced Gulf Keystone Petroleum’s management to opportunities in Iraq’s Kurdistan region and had a contract to develop the area together three years ago.
Gulf Keystone, which is vigorously defending itself, is expected to argue that it never had a contract with Excalibur, but admit that its chief executive Todd Kozel had worked with Mr Wempen through a private company Texas Keystone.