Dana Gas expects to generate a financial impact in Iraqi Kurdistan through its latest gas sales agreements with the Kurdistan Regional Government (KRG), Pipeline Oil and Gas Magazine reported.

“The financial impact of this expansion is directly related to the oil price. With oil price ranging between $60-70 per barrel, we expect the new phase of expansion to add $175-200 million (AED 641-733 million) to Dana Gas share of revenues and project’s cash flows per annum,” Dana Gas CEO Patrick Allman-Ward said in a statement.

A consortium led by Dana Gas and Crescent Petroleum has inked a 20-year gas sales deal with the KRG to increase gas output by 63% in two years. The plans will cost around $700 million, adding two new production trains and drilling new wells to boost the output.