Genel Energy Sees 66% Drop in Oil Production Amid Military Tensions

Genel Energy, an oil producer in the Kurdistan Region, reported a significant decline in production levels in its Tawke and Peshkabur fields. According to the company's latest financial and operational report, overall oil production dropped by 66.3 percent in the first half of 2026 compared to the same period last year.

The decline was attributed to a temporary suspension of production operations due to military tensions and conflict in the region at the end of February this year. Production levels were severely impacted, with an average gross daily production of 26,400 barrels of oil per day (bopd) in the first half of 2026 compared to 78,400 bopd in the first half of 2025.

The company's production level dropped from 19,600 bopd in the first half of 2025 to 6,600 bopd in the first half of 2026. Genel Energy holds a working interest of 25 percent in the Tawke license (Tawke and Peshkabur fields).

The suspension of production was due to the onset of military conflicts between the US, Israel, and Iran, which forced the company to halt activities as a precautionary measure. Initial drilling activities resumed in April, and production operations at the Tawke and Peshkabur fields restarted on June 28.