Gulf Keystone Petroleum, a London-listed oil producer, will merge with Norway’s Shamaran Petroleum in an all-share deal valued at $601mn, creating one of the largest oil producers in Iraq’s Kurdistan Region, Gulf Keystone said on October 20, according to Reuters.

Under the agreement, Shamaran shareholders will receive 0.07533958 Gulf Keystone shares for each Shamaran share they own.

Shareholders of both companies will each hold approximately 50% of the combined company following completion of the deal.

Gulf Keystone said it planned to transfer its primary listing to the main market of Euronext Oslo before eventually delisting from the London Stock Exchange.

Gulf Keystone operates the Shaikan oilfield in Iraq’s Kurdistan Region, while Shamaran holds interests in the Atrush and Sarsang fields and has invested in the Hamrin field in federal Iraq.

The combined company is expected to produce about 53,000 barrels per day and hold 323 million barrels in proved and probable working-interest reserves. The deal remains subject to shareholder approval and other closing conditions, with completion expected in mid-2027, Iraqi Kurdish Shafaq News website reported.