ERBIL, Kurdistan Region - The UAE-based Dana Gas and its affiliated Crescent Petroleum on Tuesday announced they have begun natural gas deliveries from the Kurdistan Region's Khor Mor gas field to Baghdad's electricity ministry in support of Iraq's power sector.
The companies said in a statement that they have "commenced supplies of natural gas from the Khor Mor field [located] in the [eastern part of the] Kurdistan Region to Iraq's Ministry of Electricity in Kirkuk, to further support the electricity sector in Iraq."
Under a December agreement signed with the federal electricity ministry, the two firms - as joint operator of the Kurdistan Gas Project - will supply 100 million standard cubic feet per day (MMscf/d) of gas from the Khor Mor processing facility to the Kirkuk Taza power station for an initial term of one year "to help improve power generation and services" in Iraq, the statement said.
Majid Jafar, CEO of Crescent Petroleum and managing director of the board of Dana Gas, hailed the first delivery as "an important milestone for the companies in their development of gas sector in the Kurdistan Region" and in "supporting the growing electricity demand for Iraq as a whole, and contributing to improved services for the people of Iraq."
"We thank our partners in the Kurdistan Regional Government [KRG], the local authorities in Sulaimani, and the Iraqi Ministry of Electricity for their support and partnership in making this achievement possible," Jafar said.
The development comes after Dana Gas announced last week that it will "carefully and gradually" increase production at the Kurdistan Region's Khor Mor gas field, citing "clear assurances received from the highest levels of the KRG and Iraqi government."
The move aims to "support the local electricity needs of citizens in the Kurdistan Region and other parts of Iraq," Dana Gas then said.
In mid-July, the firm had temporarily suspended all operations at Khor Mor due to escalating regional tensions. That suspension came after operations at the field had resumed in mid-April, following more than 42 days of disruption caused by the Iran war, which began on February 28.
Dana Gas and Crescent Petroleum framed the commencement of deliveries to the federal electricity ministry as aligned with their "strategy to expand gas sales following the completion of the [Khor Mor 250] KM250 expansion, which was commissioned in October 2025, raising production capacity from Khor Mor by 50 percent to 750 MMscf/d."
That expansion "has enabled the partners to open new markets and deliver much needed gas by pipeline from the Khor Mor gas processing facility" in the Kurdistan Region, the statement said.
Moreover, Richard Hall, CEO of Dana Gas, was cited as explaining that "leveraging the additional capacity created through the KM250 expansion ... lays the foundation for more cooperation on energy within Iraq's growing market, to strengthen energy security while supporting more reliable electricity services."
Dana Gas began sales from the KM250 expansion project in October, which continued despite repeated drone attacks attributed to Iran-affiliated armed groups.
The UAE-based firm and its affiliated Crescent Petroleum signed an agreement with the KRG in 2007 to develop the Region's gas resources. The Khor Mor field, located in the eastern Sulaimani province, has since become the cornerstone of those efforts, supplying gas for power generation across much of Kurdistan.
Meanwhile, the $1.1 billion KM250 expansion was delivered eight months ahead of schedule and added 250 MMscf/d of capacity. Jafar in November told Rudaw that the project is set to boost natural gas production capacity in the Kurdistan Region by 50 percent - more than 700 million cubic feet per day.
“It's a pride for us, but it is a pride for Kurdistan, and it's a pride really for all of Iraq because, actually, it's hugely beneficial, of course, for the electricity situation within the Kurdistan Region, but also for other parts of Iraq,” he then said in an interview with Rudaw’s Omer Moradi in Sharjah, United Arab Emirates.
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