ERBIL, Kurdistan Region of Iraq - The UK-listed Gulf Keystone announced Monday it temporarily halted production at the Kurdistan Region’s Sheikhan oil field, citing the “regional security environment.” 

Regional countries, including the Kurdistan Region, have come under retaliatory attacks by Iran and its proxies since the US and Israel started their airstrikes on the country on Saturday.

In a statement on Monday, Gulf Keystone, an independent operator and producer in the Kurdistan Region said it has “temporarily shut-in production operations” at Sheikhan oil field, situated about 60 km to the northwest of Erbil.

The company “has taken measures to protect staff in light of the developing regional security environment,” according to the statement, adding that its assets “have not been impacted.”

“The Company is closely monitoring the situation and will provide further updates as appropriate.”

During the 12-Day War between the US, Israel, and Iran in June last year, the Kurdistan Region’s oil and energy infrastructure came under heavy drone attacks.

Since Saturday, the war has disrupted much of the gas production in the Khor Mor gas field in Sulaimani province, the main supplier of electricity in the Kurdistan Region, as companies evacuate personnel. 

The Emirati giant Dana Gas operating the field halted much of its operations, also citing the security situation, according to a statement on Saturday.

“Due to the extraordinary and war-like conditions that have occurred in the region, and in order to protect the lives of staff at the Khor Mor field, the Dana Gas company has halted the export of natural gas to electricity generation stations,” read a joint statement from the Kurdistan Regional Government’s (KRG) natural resources and electricity ministries on Sunday.

“As a result, electricity generation capacity will decrease by 2,500–3,000 megawatts,” it added.

The Oslo-listed DNO has also suspended its oil production in the Kurdistan Region as a precautionary measure, Executive Chairman Bijan Mossavar-Rahmani, told Reuters on Saturday.