Oil firm Gulf Keystone Petroleum (GKP) is planning to issue a $250m bond to support its activities in the semi-autonomous Kurdistan region of northern Iraq.

The UK-listed company is currently hosting a series of meetings with investors in the US, Europe and Asia. Deutsche Bank and Pareto Securities are leading the issue.

The funds will be used to support Gulf Keystone’s production at Shaikan, as well as the development of its Sheikh Adi, Ber Bahr and Akri-Bijeel fields.

GKP’s capital expenditure plan totals $815m for phase 1. This includes $206m for two early production facilities, $320m for the Shaikan central processing facility and $59.5m for a 24-inch, 15-kilometre pipeline.

Phase 1 of the Shaikan field development began in July 2013 at 40,000 barrels a day (b/d), increasing to 150,000 b/d in the next three years and 250,000 b/d by 2018.