Dana Gas says to begin production at Chamchamal field next year, launching a new chapter in Iraq’s natural gas development. The UAE-based company confirmed it has begun work on the Chamchamal gas field in Sulaimani province, aiming to bring the site online by mid-2026.
In a statement on the Abu Dhabi Securities Exchange, Dana Gas announced a $160 million investment through Pearl Petroleum. The plan includes drilling three new wells and installing a test facility at the Chamchamal site. Once operational, the field will produce 75 million standard cubic feet of gas per day (mmscf/d).
Chamchamal, alongside the nearby Khor Mor field, ranks among Iraq’s most valuable energy resources. Dana Gas operates both fields in partnership with Crescent Petroleum and under the Pearl Petroleum consortium.
Dana Gas continues to post strong results in the Kurdistan Region. Despite falling oil prices, the company reported $43 million in profits so far this year—a 13% rise compared to last year. Gas output at Khor Mor reached 525 mmscf/d, supporting more than 75% of the Kurdistan Region’s power generation.
The company also updated progress on its major Khor Mor expansion, known as KM250. Set for early completion in 2025, the project will add 250 mmscf/d in processing capacity. This marks a 50% increase in production, which will further enhance Dana Gas’s revenue and improve local electricity output.
In 2007, Dana Gas and Crescent Petroleum signed an agreement with the Kurdistan Regional Government (KRG) to unlock the Region’s gas reserves. The deal included plans to develop “Kurdistan Gas City,” a major industrial hub for gas-based manufacturing and private sector investment.
However, both Chamchamal and Khor Mor have faced repeated security threats. Armed groups have targeted the sites with drones, causing disruptions and delays. A drone strike in February hit Khor Mor but caused no serious damage. Other attacks in recent years have resulted in casualties and temporary production halts.
Despite these challenges, Dana Gas CEO Richard Hall confirmed the company remains on track. “We achieved higher production in the KRI while reducing costs,” he said. “Our KM250 expansion is progressing well, and we expect first gas by Q1 2026.”
In summary, Dana Gas says to begin production at Chamchamal field next year, achieving three major goals. First, it expands Iraq’s gas capacity. Second, it boosts Kurdistan’s energy independence. Third, it strengthens Dana Gas’s role in the region’s energy market.