oil contracts for iraq

[BOBBY ROMERO]

Iraqi Oil Fields

AMMAN (Dow Jones Newswires), Sep. 7, 2010

PetroChina has started issuing tenders for a multibillion project to develop Iraq's giant untapped Halfaya oil field in southern Iraq, Iraqi oil sources said Tuesday.

The first tender is an engineering, procurement and construction contract to build an oil storage and filling station, a person familiar with the project told Dow Jones Newswires.

The other tenders call for the building acidizing stimulation service system, as well as the supply of dual-fuel generators, complete defense system, Toyota Land Cruiser and pickup cars.

The company set Sept. 26 and 27 deadlines for receiving bids for some of these tenders, the sources said.

In December, a consortium led by PetroChina Co. won the right to develop the Halfaya oil field in Iraq under a 20-year contract in Baghdad.

PetroChina has a 37.5% stake, while Total of France and Malaysia's Petroliam Nasional Bhd., or Petronas, each have 18.75%. Iraq's state-owned Missan Oil Company holds the remaining 25%.

PetroChina Co. said previously that it aims to boost production at the field to 535,000 barrels a day, from 3,100 barrels.

Halfaya, one of Iraq's giant oil fields, has proven crude oil reserves of more than 4.1 billion barrels