Gulf Keystone Petroleum continues to post losses. The oil and gas company which operates in the Kurdistan region of Iraq has posted a loss after tax of $59.87m (£45.81m) for the six months to 30 June. This was, however, better than the same period last year, where it posted a loss of $77.69m.
The losses come despite an increase in both revenues and production. Revenues for the period came in at $102.1m, much more than H1 2015's revenues of $30.1m. In a statement, the company explained the difference as including $51.2m "in relation to a part of the previously unrecognised revenue arrears and $50.9m for H1 2016 liftings".
Gross production for the six months stood at six million barrels, up 28% from H1 2015's 4.7 million barrels.
The company generated a positive cash flow of $46.7m for the period and had cash and cash equivalents of $68m as of 20 September.
The company says that a restructuring programme being implemented which once completed will significantly lower debt from $600m to $100m. This would be done through the conversion of debt to equity.
CEO Jón Ferrier said: "Upon completion of the restructuring we will be able to effectively relaunch Gulf Keystone. We will benefit from an enhanced balance sheet, a well understood field which continues to perform above expectations and a clear path to significantly increasing production and growing value over time. With a regular payment schedule, Gulf Keystone will be in the strongest position it has been in for a number of years and faces the future with renewed confidence."
Non-executive chairman Keith Lough and Ferrier said there are two concerns for the company: one are the continuing regional geopolitical issues and the other oil price challenges.