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ADMN417: International Business Mgmt ASSIGNMENT 1 CASE
TALISMAN ENERGY INC.: THE DECISION TO ENTER IRAQ NEW
UPDATE FALL 2025|2026 Athabasca University
Case Analysis: Talisman Energy Inc.
ADMN417: International Business Mgmt.
Melike Kinik-Dicleli, Instructor
September 30, 2025
, 2
Executive Summary
Talisman Energy is debating an opportunity that provides them early entry into the oil-
rich region of Kurdistan, Iraq. This will make them one of the first in the region to
develop a presence and tap into approximately 39 billion barrels of reserves and
producing 80,000 to 260,000 barrels per day. As with any opportunity there are risks and
this one is no different. The Kurdistan Regional Government (KRG) requires a large
upfront payment of $220 million for licensing, there are political issues with Baghdad
regarding boarders and revenue sharing, creating a potential situation that will mirror the
issues experienced in Sudan, optical negligence and believed corruption. Learning from
their previous experiences, they created new policies and implemented a corporate
responsibility team to help them navigate and manage the improvement to their reputation
form Sudan and mitigate concerns with future expansions. If Talisman decides not to
expand, they will fall behind and lose a significant chance to be a lead developer in the
region. With all this information considered, Talisman needs to act expediently to take
advantage of the proposed venture and maximize their profits.
Problem statement
Talisman Energy (TE) is considering investing in the Kurdish region of Iraq, providing
them the opportunity to take advantage of their oil reserve. Faced with political and
reputational risk due to the ongoing conflict within the country and international scrutiny
on companies investing in the region. CEO Manzoni is faced with the task of determining
if they should pursue the venture and risk tarnishing their reputation again.
Analysis
TE’s experience in Sudan and the resulting issues that arose from their venture in the
country are creating apprehension to make an investment in potential unstable areas.
Their experience in Sudan, while profitable drew a lot of criticism from industry,
onlookers, and governments as they were accused of helping to fund the civil war. The
accusatory NGOs attempted to have TEs funding cut-off by launching campaigns
targeting their investors and governments to try exererting some external force on the
company to have them shut down operations and leave Sudan. The campaigns had the
desired effect, and the US and Canadian government began to investigate TEs operations.
The optics and publicity drew awareness of their presence to the public, creating
conversations and concerns of future investments, share price and transparency. Talisman
took necessary actions to address the internal and external concerns.
The company worked with GNPOC to implement: a code of ethics, human right
monitoring system, and a human right training program to its employees. They took steps
to work with the Sudanese government and making a public awareness campaign of
policies they were implementing to create trust. During this period, they continued their
operations and investments in the country and while experiencing and projecting large
profits. Unfortunately, a Sudanese group brought forth more accusations creating
significant uncertainty hurting the company’s reputation. Investments slowed and the
ADMN417: International Business Mgmt ASSIGNMENT 1 CASE
TALISMAN ENERGY INC.: THE DECISION TO ENTER IRAQ NEW
UPDATE FALL 2025|2026 Athabasca University
Case Analysis: Talisman Energy Inc.
ADMN417: International Business Mgmt.
Melike Kinik-Dicleli, Instructor
September 30, 2025
, 2
Executive Summary
Talisman Energy is debating an opportunity that provides them early entry into the oil-
rich region of Kurdistan, Iraq. This will make them one of the first in the region to
develop a presence and tap into approximately 39 billion barrels of reserves and
producing 80,000 to 260,000 barrels per day. As with any opportunity there are risks and
this one is no different. The Kurdistan Regional Government (KRG) requires a large
upfront payment of $220 million for licensing, there are political issues with Baghdad
regarding boarders and revenue sharing, creating a potential situation that will mirror the
issues experienced in Sudan, optical negligence and believed corruption. Learning from
their previous experiences, they created new policies and implemented a corporate
responsibility team to help them navigate and manage the improvement to their reputation
form Sudan and mitigate concerns with future expansions. If Talisman decides not to
expand, they will fall behind and lose a significant chance to be a lead developer in the
region. With all this information considered, Talisman needs to act expediently to take
advantage of the proposed venture and maximize their profits.
Problem statement
Talisman Energy (TE) is considering investing in the Kurdish region of Iraq, providing
them the opportunity to take advantage of their oil reserve. Faced with political and
reputational risk due to the ongoing conflict within the country and international scrutiny
on companies investing in the region. CEO Manzoni is faced with the task of determining
if they should pursue the venture and risk tarnishing their reputation again.
Analysis
TE’s experience in Sudan and the resulting issues that arose from their venture in the
country are creating apprehension to make an investment in potential unstable areas.
Their experience in Sudan, while profitable drew a lot of criticism from industry,
onlookers, and governments as they were accused of helping to fund the civil war. The
accusatory NGOs attempted to have TEs funding cut-off by launching campaigns
targeting their investors and governments to try exererting some external force on the
company to have them shut down operations and leave Sudan. The campaigns had the
desired effect, and the US and Canadian government began to investigate TEs operations.
The optics and publicity drew awareness of their presence to the public, creating
conversations and concerns of future investments, share price and transparency. Talisman
took necessary actions to address the internal and external concerns.
The company worked with GNPOC to implement: a code of ethics, human right
monitoring system, and a human right training program to its employees. They took steps
to work with the Sudanese government and making a public awareness campaign of
policies they were implementing to create trust. During this period, they continued their
operations and investments in the country and while experiencing and projecting large
profits. Unfortunately, a Sudanese group brought forth more accusations creating
significant uncertainty hurting the company’s reputation. Investments slowed and the
