Norway Oil Firm to Pump in Iraq

Norwegian successful oil firm DNO is likely to start pumping crude in Iraq.

The company said that if tests go well, it should start production at its Tawke field in northern Iraq early in 2007.

In mid-morning trading, the stock was trading at 54.50 crowns, valuing the firm at 12.2bn crowns ($1.9bn).

DNO has been one of the best performers on the Oslo stock exchange over the past year, buoyed by higher crude prices and the outlook for new wells.

The company already produces some oil in the North Sea and Yemen, and should its field in northern Iraq yield results, it will be the first foreign firm to pump crude in the country since the US-led invasion.

"DNO is currently undertaking feasibility studies for future possible oil production from the Tawke Area, including a fast-track option," the company said in a statement.

The company said it was too early to tell how big the field was and what its total output could be.