Dear colleagues, partners and stakeholders,
Dragon Oil is an upstream oil & gas exploration and production company riding a journey to excellence. We are the sole operator of the Cheleken Contract Area in Turkmenistan and have a number of exploration assets across North Africa, the Middle East and Asia. Dragon Oil has exploration interests in Iraq, Algeria, Egypt, Afghanistan, and Tunisia. We are progressively on the front lines of the search for new areas to invest and develop Oil and Gas resources.
We are delighted to be part of a large diversified organization, Emirates National Oil Company Ltd. (“ENOC”), to which we hope continual success and prosperity, as joining ENOC provides a wider scale of collaboration, knowledge and creation of value.
In 2017, Dragon Oil maintained a production level over 90,000 BOPD from the Cheleken Contract Area and Iraq Block 9. We are aiming to maintain this production level, with an ambition to grow.
The development of drilling was key in the deployment of four jack-up drilling rigs in the Cheleken Contract Area, which allowed us to complete more than 20 wells in 2017. The crude oil farm tank commissioned was another key success factor this year, availing eight additional tanks with new storage capacity in excess of 2 Million barrels. This will provides storage and export flexibility.
Dragon Oil is committed to a corporate social responsibility program in Turkmenistan. We undertake projects of all sizes, which ultimately benefit our host communities in areas of health, education, sports and others.
Our Motto in Dragon Oil is People First and this is a value that is vigorously promoted throughout our various locations. We are committed to ensuring a high level of ethical conduct, fairness and attractive career development opportunities for all our employees. Dragon Oil is proud to have 95% of the Dragon Oil Turkmenistan workforce being Turkmen nationals in Turkmenistan.
HSE and Quality represent top priorities in Dragon Oil to ensure no harm to people, assets or the surrounding environment with improving performance indicators continuously.
During 2017, we took a broader review of the risk management in the Cheleken Block where we put down all the old derricks and eliminated the risk of their deterioration, a milestone achievement that made every person in Dragon Oil proud and more committed to a safer future.
Technology and Innovation have been identified as essential enablers to unlock the company’s potential and to improve Dragon Oil capabilities, to manage old and new challenges, and become resilient in the market conditions with prices fluctuating.
In 2017, the company went through transformation to change to the better in every aspects through visible leadership and integrated teams to develop agility in order to capture opportunities of technical, operation, and business nature as well.
During the year, the company introduced a new organization to drive performance through its people to an international standard and introduced several new processes to allow achieving the company objectives more effectively concerning Development Schedule, Cost Management and Quality Control of our installation.
The oil and gas industry has to adapt to the low crude oil price environment and our focus is on aligning and adapting our strategic directions to today’s circumstances of competitiveness, resilience and harnessing innovation. We aim to continue running a safe and sustainable operations focusing on cost discipline to maximize financial management.
Finally, I would like to thank our Governing Board and our parent company ENOC, host governments, employees, partners and all of stakeholders for their dedication and continued support, as we look forward to another year of success.
Ali R Al Jarwan
Chief Executive Officer