Gulf Keystone Petroleum reports resilient H1 2026 earnings

Gulf Keystone Petroleum reported a resilient financial performance for the first half of 2026, despite significant production disruptions at its Shaikan field caused by regional security concerns related to the conflict between the U.S. and Iran.

Adjusted EBITDA rose 26% to $52 million compared to $41 million in the previous year. This increase was driven by higher realized export prices and a 25% reduction in operating costs, which fell to $20 million. The reduction in costs was largely attributed to the production shutdown, which lowered spending on diesel and chemicals.

Production levels saw significant volatility due to precautionary shut-ins. The Shaikan field experienced a prolonged shutdown from February 28 through June 23, resulting in a gross average first-half output of 14,600 barrels per day, down from 44,100 barrels per day in the first half of 2025. Following a restart on June 24, output briefly exceeded 45,000 barrels per day before another precautionary shut-in occurred on July 19. Production resumed on August 16, with volumes currently approaching 40,000 barrels per day.