US report: Iraqi approach to extend an oil pipeline towards Syria

[yota691]

17-03-2018 11:31 AM

Minister of Oil: We seek to develop the sector of liquidation and investment of gas and the introduction of renewable energy

 

 

 

Oil Minister Jabbar al-Luaibi announced his ministry's efforts to develop the oil industry, such as raising the level of oil and gas, as well as diversifying the oil and gas industry and introducing petrochemicals in this field, in addition to introducing renewable energy and infrastructure development, limiting the areas described by the underdeveloped in Iraq's oil industries. More income for the country. 

"Among these efforts is to increase the production of condensate and raise the rate of export, as well as for the export of oil derivatives, gas and liquid gas, pointing to the ministry's significant leaps in the export of liquid gas, where it was able to access the export of this substance to 2,000 tons per day.

[yota691]

Iraq signs a $ 34.5 million contract with a British gas pressure company in Basra

By

 rami

 -

March 17, 2018

26

0

 

 

 

Wah Song Corporation received a contract worth US $ 34.56 million for the design and sale of gas compressor packages, plant-related facilities and sites in Iraq.
In a statement with Bursa Malaysia, Wah Sung said that his wholly owned subsidiary, WASCO Engineering International Limited, had awarded the Basrah Gas Company, based in Basra, which is expected to start this month and end by the end of 2018.
Wasco is a British company established on the island of Virgin and headquartered in the Jebel Ali Free Zone in Dubai, United Arab Emirates.
Its scope of operation includes the provision of gas compressors and processing equipment, site facilities such as office containers, workshops, lighting, safety equipment, fire and gas detectors, generators and air compressors.
Activities undertaken by Wasco for Basrah Gas include detailed engineering, design, procurement and packaging of practical equipment.
The contract, fixed and non-renewable, is expected to contribute positively to the Group’s profits during the contract period.

[yota691]

Sumo: 60% of Iraq's oil exports are going to Asian markets

 

Oil worker in southern Iraq

energy Economy News Baghdad: The head of oil marketing company "Sumo" said on Sunday that he expected oil prices to remain stable at current levels over the entire 2018 period. "The stability of the price of oil depends on political stability in the region," Alaa al-Yasiri told reporters during a meeting in Sumo, Baghdad. Yasiri said Iraq would sign joint ventures with Asian companies from China, India and South Korea as part of targeting the continent's markets. He added that 60 percent of Iraqi oil exports are going to Asian markets. Among the many deals announced by Yasiri on Sunday was a profit-sharing agreement with China's Chenhua to help market Iraqi crude at Chinese refineries. He said the agreement with the Chinese company is only a starting point that will pave the way for further agreements and joint ventures with other Asian companies from Japan, China and Korea. Iraq has signed long-term contracts to supply crude to large Indian energy companies including Reliance to remain a major supplier of crude to India in 2018, Sumo said. He explained that the delay in the shipment of Kirkuk crude to Iran is due to the contracting procedures related to the selection of trucking companies and not to security concerns, adding that the Ministry of Oil will soon choose four local shipping companies to start the transfer of 40,000 barrels per day in principle to Iran. And the exports of Kirkuk fields stalled in light of the dispute between Baghdad and the Kurdistan Regional Government on the use of a pipeline to export crude to the Turkish port of Ceyhan. Iraq is OPEC's second largest producer and depends on oil for most of its budget revenues. Views 304   Date Added 03/18/2018

[yota691]

The production of Kirkuk fields increased to 425 thousand barrels

19/3/2018 12:00 am   Deputy Minister of Oil for the morning of the largest proportion of the consumption of local  Baghdad / Tarek al-Araji The  Ministry of Oil, the high volume of production from the fields of Kirkuk to 425 thousand barrels per day, a large proportion of it for domestic consumption by feeding refineries to produce oil derivatives and feed stations The ministry confirmed that the Iraqi oil production amounts to 4 million and 300 thousand barrels per day, and the rate of exports is about 3 million and five hundred thousand barrels per day.  Deputy Minister of Oil for Extraction, Engineer Karim Hattab told "Al Sabah": "The ministry and the exploitation of oil produced from the fields of Kirkuk, worked to direct the transfer of internally and delivery of nearly 100 thousand barrels per day towards Baiji, 70 thousand to the refinery of Salahuddin, and 30 thousand to Chinese refineries for filtering and internal transformation, including modern ones. " He added that "the ministry has also delivered about a hundred thousand barrels to the refinery of Nineveh, and 52 thousand barrels to the refinery of Kirkuk, and 25 thousand barrels to operate the power station Jerusalem, and 28 thousand barrels to refineries Qian," noting that "the next few days will see the activation of the contract The swap with the Iranian side, which will begin to transfer 30,000 barrels of Kirkuk oil to the Iranian side and received by Iraq from the south, and it is hoped that the amount of the contract to 60 thousand barrels per day in the second phase. Undersecretary of the Minister of Oil for the extraction, confirmed that "the ministry was receiving nearly 150 thousand barrels per day of Kirkuk oil only, but the quantities received currently exceed 400 thousand barrels per day, especially after the control of the ministry on fields (Bay Hassan) and (Havan) to In addition to the rehabilitation of fields and wells in the region, "stressing that" the actual production received by the ministry from the fields of Kirkuk now and daily between 321 thousand barrels and 425 thousand barrels, and the ministry is seeking to increase after the completion of development. "  Hattab said that "the ministry has also succeeded in raising the production capacity of the field (Ajil) from 10 thousand barrels per day to 17 thousand barrels, and that the development of this field is continuing to increase production capacity, in addition to the success of production of 10,000 barrels of oil field (Qayyarah) Especially that the fields in those areas suffered great destruction as a result of the control of criminal gangs to support them. " On the volume of oil production throughout the country, Hattab explained that "the oil production of the country is currently four million and three hundred thousand barrels per day, and the rate of daily exports up to three million and five hundred thousand barrels per day," He said: "The export of oil from Kirkuk to the port "The first is to reach solutions with the Kurdistan region to resume exports and the second to activate the work to establish the line that reaches Ceyhan, and the ministry receives the offers of companies to proceed with the completion of this export pipeline."

[ChuckFinley]

Thanks Yota, it is all about the  money. 

[The Englishman]

https://www.bloomberg.com/news/articles/2018-03-19/iraq-mulls-building-an-island-to-boost-oil-exporting-capacity.

 

Iraq Mulls Building an Island to Boost Oil-Exporting Capacity

By 

Khalid Al Ansary

19 March 2018, 12:56 GMT

• Country seeks bids for $4 billion seawater plan at oil fields
• Iraq expanding export capacity amid global oil output cuts

OPEC’s second-biggest producer is ramping up efforts to expand capacity to pump and export oil, with plans that include the injection of seawater into crude deposits and the construction of export facilities on a man-made island in the Persian Gulf.

 

 

Iraq is seeking bids from six companies for an estimated $4 billion project to inject seawater into its southern oil fields to dislodge more crude from the deposits, Ihsan Abdul Jabbar, the director-general of state-run Basra Oil Co., said in an interview. The country has already received bids from five companies interested in building a processing facility to double output at the Majnoon field to 450,000 barrels a day, he said, without identifying the bidders.

 

 

Iraq is also studying a proposal with a Dutch company to build a 10 million-barrel storage facility and an oil-exporting terminal with a capacity of 2 million barrels a day -- all on an artificial island off the country’s Gulf coast, Abdul Jabbar said in Basra.

 

 

“Let’s say we have rough weather. The tankers will be taken to a safe zone, and when the rough weather ends, we will have many vessels and not all will be able to come for loading as the waiting area will be busy,” he said. “But if we have more than one terminal, once the rough weather ends, they all can come to get crude loaded.”

 

 

Giant Fields

Iraq has sought to boost oil sales from its southern region, which includes giant fields such as Majnoon and Rumaila, to offset a loss in production in the north where a dispute with the semi-autonomous Kurdish region has crippled pipeline exports through Turkey. Iraq pumped 4.43 million barrels a day in February, second only to Saudi Arabia in the Organization of Petroleum Exporting Countries. It sees output capacity at 5 million barrels a day by the end of next year, even as it commits to capping production under a global oil-cuts deal.

State-run Basra Oil targets an increase in production to 3.5 million barrels a day by the end of the year from 3.15 million currently, Abdul Jabbar said. It plans to pump 4.5 million barrels a day by the end of 2022, with gains at all fields in Basra province, he said.

 

Oil producers pump water into oil fields to enhance crude recovery. Initial bids for Iraq’s seawater-injection project are due by April 15, and the government expects to award the work before June, Abdul Jabbar said. Iraq is talking with Exxon Mobil Corp. and PetroChina Co. about aspects of the project, Abdul Mahdy Al-Ameedi, the Oil Ministry’s director-general for upstream oil contracts, said last month in Berlin.

Export Flexibility

The country plans separately to increase output at the southern deposit of West Qurna-1 to 480,000 barrels a day by December from 450,000 barrels a day, Hassan Mohammed Hassan, head of the field’s joint management committee, said in an interview in Basra. Output at the field will jump to 800,000 by the end of 2022, he said.

An artificial island with storage and shipping facilities for crude would contribute to Iraq’s strategy of maintaining an exporting capacity that exceeds its production, Abdul Jabbar said. This is “a must,” to ensure flexibility in case an accident or foul weather disrupts exports from any one oil terminal, he said.

Each of Iraq’s four single-point mooring offshore facilities can export as much as 900,000 barrels a day, and a fifth is under construction, Abdul Jabbar said.

“If damage occurs to one of the jetties, the maintenance takes months. If we have rough weather, it also takes two days from export capacities,” he said. “To secure your business, export capacities must be 1.5 times greater that output capacities to overcome any problems of having output but being unable to export.”

[Pitcher]

Iraqi Oil Minister Jabbar Ali Al-Allaibi discussed Monday with the director of Shell in Iraq Marcos Antonini and the accompanying delegation bilateral cooperation and development of the gas sector in Iraq.
“The Ministry of Oil is looking forward to enhancing cooperation opportunities and developing work with Shell to develop the gas industry and optimize the investment of oil wealth,” Al-Luaibi said, stressing the ministry’s keenness to “cooperate optimally with international companies.”
For his part, the director of Shell in Iraq that his company “seeks to develop work with the Ministry of Oil and move forward to develop the gas sector in the country.”

http://en.economiciraq.com/2018/03/19/the-iraqi-ministry-of-oil-discussed-with-shell-the-most-important-ways-to-develop-the-gas-industry-in-iraq/

[Pitcher]

The Ministry of Oil revealed that the volume of production from the fields of Kirkuk rose to 425 thousand barrels per day, a large proportion of it is used for domestic consumption through oil refineries and electric stations. The ministry confirmed that the Iraqi oil production amounts to 4 million and 300 thousand barrels per day, and the rate of exports is about 3 million and five hundred thousand barrels per day.
Deputy Minister of Oil for the extraction of the engineer, Engineer Hattab, said that “the ministry worked to direct the internal transfer and delivery of nearly 100 thousand barrels per day towards Baiji, and 70 thousand to the refinery of Salah al-Din, and 30 thousand to the refineries of China for liquidation and internal transformation, including to modern” to exploit oil Product from Kirkuk fields.
He added that “the ministry has also delivered about 100 thousand barrels to the refinery of Nineveh, and 52 thousand barrels to the refinery of Kirkuk, and 25 thousand barrels to operate the power station Jerusalem, and 28 thousand barrels to refineries Qian,” noting that “the next few days will see the activation of the contract The swap with the Iranian side, which will begin to transfer 30 thousand barrels of Kirkuk oil to the Iranian side and received by Iraq from the south, and it is hoped that the amount of the contract to 60 thousand barrels per day in the second phase.
Undersecretary of the Minister of Oil for the extraction, confirmed that “the ministry was receiving nearly 150 thousand barrels per day of Kirkuk oil only, but the quantities received currently exceed 400 thousand barrels per day, especially after the control of the ministry on fields (Bay Hassan) and (Havan) to In addition to the rehabilitation of fields and wells in the region, “stressing that” the actual production received by the ministry from the fields of Kirkuk now and daily between 321 thousand barrels and 425 thousand barrels, and the ministry is seeking to increase after the completion of development. ”
Hattab said that “the ministry has also succeeded in raising the production capacity of the field (Ajil) from 10 thousand barrels per day to 17 thousand barrels, and the development of this field is continuing to increase production capacity, in addition to the success of the production of 10,000 barrels of oil field (Qayyarah) Especially that the fields in those areas suffered great destruction as a result of the terrorists’ control over them. ”
On the volume of oil production throughout the country, Hattab explained that “the oil production of the country is currently four million and three hundred thousand barrels per day, and the rate of daily exports up to three million and five hundred thousand barrels per day,” He said: “The export of oil from Kirkuk to the port “The first is to reach solutions with the Kurdistan region to resume exports and the second to activate the work to establish the line that reaches Ceyhan, and the ministry receives the offers of companies to proceed with the completion of this export pipeline.”

http://en.economiciraq.com/2018/03/19/the-production-of-kirkuk-fields-increased-to-425-thousand-barrels-per-day/

 

[yota691]

Oil announces the final statistics of exports during the month of February

 

Tuesday 20 March

 

 

 

 

 

 

Alsumaria News / Baghdad  The Ministry of Oil announced on Tuesday the final statistics of oil exports during the month of February.  "According to the final statistics issued by the Iraqi Oil Marketing Company (Somo), the amount of exports of crude oil 95 million and 940 thousand and 404 barrels, with revenues amounted to five billion and 762 million and 174 thousand dollars "Noting that" the statistics did not record any oil exports from the fields of Kirkuk. "         Jihad said that "the average price per barrel amounted to 60,060 dollars," noting that "the exported quantities were loaded by 37 international companies of different nationalities, from the ports of Basra and Khor al-Amaya and monsoons on the Gulf."  Iraq exports crude oil currently from the southern ports in Basra after the cessation of northern exports as a result of the region's non-compliance with the oil agreement with the federal government.

[Pitcher]

The Ministry of Oil announced on Tuesday the final statistics of oil exports during the month of February.
The ministry spokesman Assem Jihad said in a statement that “according to the final statistics issued by the Iraqi Oil Marketing Company (Somo), the amount of exports of crude oil 95 million and 940 thousand and 404 barrels, revenues amounted to five billion and 762 million and 174 thousand dollars,” he said That “the statistics did not record any oil exports from the fields of Kirkuk.”
Jihad said that “the average price per barrel amounted to 60,060 dollars,” noting that “the exported quantities were loaded by 37 international companies of different nationalities, from the ports of Basra and Khor al-Amaya and monsoons on the Gulf.”
Iraq exports crude oil currently from the southern ports in Basra after the cessation of northern exports as a result of the region’s non-compliance with the oil agreement with the federal government.

http://en.economiciraq.com/2018/03/20/the-ministry-of-oil-announces-the-final-statistics-of-exports-during-the-month-of-february/

[ChuckFinley]

Thank  Pitcher for the info.  

[Donziman]

i read somewhere Kirkuk produces almost a million barrels per day. No wonder the Kurds wanted it.

[ChuckFinley]

1 hour ago, Donziman said:

i read somewhere Kirkuk produces almost a million barrels per day. No wonder the Kurds wanted it.

I believe you are right. Read something to that effect a day or so ago.  

[3n1]

2 hours ago, Donziman said:

i read somewhere Kirkuk produces almost a million barrels per day. No wonder the Kurds wanted it.

 

June 10, 2014, the Iraqi general in charge of protecting Kirkuk had given up in the face of the Islamic State offensive. His men changed into civilian clothes and fled their positions. The Kurdish Peshmerga filled that void and prevented the Islamic State from taking the city. They have secured Kirkuk ever since .. until Abadi militarily took kirkuk back recently , im sure abadi would have had a wrecked city like mosul if the peshmerga would not have stepped in when they did , if memory is right this investment has a way of breaking it down lol, saddam did a land / territory grab from the kurds which included kirkuk imo the kurds used that opportunity to gain back what was taken, article 140 included that region as kurdish, maliki never did article 140 either and to the day its been a major area of contention .. we wait and all the best 

[yota691]

Resume work in the largest gas field in Iraq

Release date: 2018/3/21 12:36 • 65 times scheduled

The South Korean firm Kokaz is ready to resume work on the largest gas field in Iraq.

A statement by the Iraqi Ministry of Oil received the agency {Euphrates News} a copy of it, "Oil Minister Jabareli al-Allaibi, received the director of the {Kokaz} Korean (Yonsing Kim) and his delegation, and discussed ways to strengthen joint cooperation to develop the gas sector in Iraq. 
The statement added that "the Minister of Oil listened to the steps taken by the company and the arrangements made by the resumption of work in the field of (Akas) in Anbar province," stressing that the ministry is keen to create the environment for work. " 
For his part, the director of the Korean company on the desire of the company to resume work and develop the sector Gas in Iraq ". 
It is noteworthy that the field {Akas} is located south of the city of Qaim west of Anbar province, the largest gas field in Iraq, storing 5.3 trillion cubic feet of natural gas, was discovered in 1981, and in 1983 discovered oil also in Akkas.

[Pitcher]

Korean company Kokaz expressed its desire on Wednesday to resume work in Akkas field in Anbar province after being freed from ISIS.
The oil ministry said in a press statement that Oil Minister Jabbar al-Luaibi met with the director of the Korean Kokaz company Yonsing Kim and his delegation and discussed ways to enhance joint cooperation to develop the gas sector in Iraq.
“The minister listened to the steps taken by the company and the arrangements it made to resume work in the Akkas field.”
“The ministry is keen to create the right environment for work,” the minister was quoted as saying.
For his part, the director of the Korean company Kokaz “Yonsing Kim” on the desire of the company to resume work and develop the gas sector in Iraq.
The Iraqi government in 2010 in the third rounds of licenses awarded the coalition Kogas and Kazmonae to develop the Akkas gas field, which has the largest gas reserves in the country estimated at 5.6 trillion cubic feet.

 

http://en.economiciraq.com/2018/03/21/the-korean-company-kokaz-expressed-its-desire-to-resume-work-in-the-akkas-gas-field-in-al-anbar/

[Pitcher]

Sorry Yota,  I missed your same article.  I try to not double post but it’s hard to keep up with you.   You’re a machine.  Many thanks for all your work.  I know it takes a lot of time to read all the articles and post them on DV.  

[yota691]

 

Export more than 3 million barrels of crude oil from southern ports

23:16

176

Watch

 

 

 

BAGHDAD (Reuters) - 
Iraq's crude oil exports through its southern ports reached three million six hundred and twenty-four thousand barrels, a shipping source said Thursday. 
The source told "Al-Ghad Press" that "the rate of pumping one hundred and fifty-one thousand barrels of crude oil per hour from the southern fields," noting that "oil exports were through the port of Basra and sea buoys."

"Four giant tankers have been loaded, six more are under load and five are waiting at the waiting station," he said.

[yota691]

Iraq announces development of 11 border exploratory zones

One of these areas on the Gulf

 

 26 March 2018 12:27 PM

Mubasher: The Iraqi Ministry of Oil, a press conference, next Thursday, to announce the development and rehabilitation of 11 border exploration areas.

The oil ministry spokesman said in a statement on Monday that the exploratory areas are located on the border with Kuwait and Iran, beside a marine exploratory area on the Gulf.

 Asim Jihad added that 15 international companies are competing to develop these exploratory areas out of 26 companies eligible for participation.

Jihad explained that the Department of Contracts and Petroleum Licenses will provide during the conference an explanation of the basic features of the contract and the amendments that have taken place based on the observations submitted by the ministry and a number of deputies and the government and some experts.

 The spokesman of the Iraqi Oil Ministry, that the wording of the contracts will be a service contract with minor modifications to it.

 It is noteworthy that the exploration areas identified by the Ministry of Development was 9 areas , and added two exploration areas in the province of Diyala, namely "Anjana and Khashm red" and "Kalabat and Kemer."

Iraq's oil minister said in February that his country plans to start exploring oil and gas in the offshore fields to boost its oil reserves .

Jabbar Al-Allaibi pointed out that the ministry seeks to maximize production of oil and gas through the optimal investment of national wealth in cooperation with international companies.

Iraq resumed oil exploration in early 2013 after a three-decade hiatus .

[yota691]

27-03-2018 04:00 PM

Sumo reveals: Iraq is considering the possibility of building facilities to store crude oil in South Korea and Japan

 

 

 

Iraq is considering the possibility of building crude oil storage facilities in South Korea and Japan, indicating that Iraq intends to stop the loading of crude from the southern port of Basra for three days or four early next month due to maintenance work. 

"Iraq is studying the possibility of building crude oil storage facilities in South Korea and Japan as part of a plan to increase sales to Asian customers," Alaa Yasiri told reporters. 


He added that Iraq intends to stop the loading of crude from the southern port of Basra for three days or four in early April because of maintenance work, "noting that it is planned to increase sales of storage tanks during that period to compensate for the shortage.

Al-Yasiri predicted that Iraq's crude production would not exceed 4.360 million barrels per day, in line with an agreement by the oil-exporting countries to reduce supply in order to raise prices, adding that March's oil exports will not exceed 3.426 million barrels per day.

[Pitcher]

Iraq is considering the possibility of building facilities to store crude oil in South Korea and Japan, indicating that Iraq intends to stop the loading of crude from the southern port of Basra for three days or four early next month because of maintenance work.
The company’s director Alaa al-Yasiri told reporters that Iraq is considering the possibility of building facilities to store crude oil in South Korea and Japan as part of a plan to increase sales to Asian customers.
He added that Iraq intends to stop the loading of crude from the southern port of Basra for three days or four in early April because of maintenance work, “noting that it is planned to increase sales of storage tanks during that period to compensate for the shortage.
Al-Yasiri predicted that Iraq’s crude production would not exceed 4.360 million barrels per day, in line with an agreement by the oil-exporting countries to reduce supply in order to raise prices, adding that March’s oil exports will not exceed 3.426 million barrels per day.

http://en.economiciraq.com/2018/03/27/iraq-is-studying-the-possibility-of-building-crude-oil-storage-facilities-in-south-korea-and-japan/

[yota691]

Iraq is studying the possibility of building crude oil storage facilities in South Korea and Japan

 

Tuesday 27 March 2018 15:00

 

 

Alsumaria News / Baghdad revealed Oil Marketing Company ( SOMO ) on Tuesday that Iraq is considering the possibility of building facilities for the storage of crude oil in South Korea and Japan , indicating that Iraq intends to stop loading crude from the port of Basra , the southern three or four days early next month due to maintenance work .  The director of the company said Alaa al - Yasiri told reporters, according to news agency " Reuters ", he said Iraq is considering the possibility of building facilities for the storage of crude oil in South Korea and Japan as part of a plan to increase sales to Asian customers.     He added that Iraq intends to stop the loading of crude from the southern port of Basra for three days or four in early April because of maintenance work, "noting that it is planned to increase sales of storage tanks during that period to compensate for the shortage  He predicted that Yasiri will not increase the production of Iraqi crude at 4.360 Million barrels per day commitment to the agreement of the oil-exporting countries to reduce the supply to raise prices, noting that the exports of March will not exceed 3.426 million barrels per day.

[yota691]

Iraq sets the date for the export of Kirkuk oil to Iran

 

 Twilight News    
 2 hours ago

The Iraqi national oil marketing company "Sumo", on Tuesday, the date of export of crude oil from the fields of Kirkuk province to Iran.

The company said that "Iraq will begin to export oil from fields north of Kirkuk to Iran in a week or two," according to Reuters.

The governor of Kirkuk, Rakan Said al-Jubouri, said last month that Iraq will export oil from Kirkuk to Iran at the rate of 60 thousand barrels per day.

This comes in the framework of an agreement signed between Baghdad and Tehran in December, to exchange 60 thousand barrels per day of crude produced from Kirkuk with Iranian oil for delivery in southern Iraq, with the transfer of oil by truck to Kreman in Iran.

Keywords: 

[trident]

17 hours ago, yota691 said:

indicating that Iraq intends to stop loading crude from the port of Basra , the southern three or four days early next month due to maintenance work . 

 

[Pitcher]

Iraq’s crude oil reserves may turn out to be much higher than believed, the country’s oil minister Jabar al-Luaibi said at a recent industry event, timing the statement with news that it will pay foreign companies less in new contracts.

Last year, Iraq updated the estimate for its proven reserves to 153 billion barrels from 143 billion barrels, but if Luaibi is right, the figure could actually be double the 2017 estimate.

If the higher estimate proves true, it would make Iraq the largest oil-rich country in the world, ahead of Venezuela, which claims its reserves are just above 300 billion barrels, and also ahead of Saudi Arabia, with 260.8 billion barrels.

 

Al-Luaibi’s remarks on the reserve estimates come amid preparations for the next oil tender in the country, which is to take place next week and offer 11 exploration blocks to foreign companies.

A total 15 companies have expressed interest in bidding for the blocks in eastern and southern Iraq as the country seeks to increase its production capacity to over 5 million bpd from the current 4.35 million bpd.

But it also comes as Baghdad says it will exclude oil by-productsfrom the revenue of foreign oil companies in new contracts that should be awarded in June. The end result will be reduced productive fees for foreign companies.

Related: Oil Majors Should Invest In Deepwater Drilling

The tender and the possible reserve update suggest Iraq does not plan to continue producing less than capacity for much longer.

This is hardly a surprise: OPEC’s number-two exporter has consistently failed to fit within its production quota under the OPEC+ agreement, forcing Saudi Arabia to reduce its production by more than it had agreed. In fact, were it not for Venezuela’s uncontrollably falling output, OPEC would not have been able to meet its objective of bringing global inventories down enough to stimulate higher prices.

Iraq has not made a secret of its production growth plans. The troubled country, which has yet to erase all traces of the Islamic State’s presence from its territory, depends on crude oil exports for 90 percent of its export revenue and does not have the means or options to initiate a quick economic turnaround.

 

https://oilprice.com/Latest-Energy-News/World-News/Iraqs-Oil-Reserves-May-Be-Much-Higher-Than-Thought.html