International firms compete for 30 energy projects in Iraq

[currenzcraze]

International firms compete for 30 energy projects in Iraq

• Amr Salem
•  April 25, 2024
•  494
•  3 min

An oil facility in Iraq. Photo: AFP

Baghdad (IraqiNews.com) – In its effort to boost the national economy and attract foreign investments, the Iraqi Ministry of Oil revealed a new round of oil exploration and production licenses, aiming to attract international energy companies to carry out 30 strategic projects in various areas of Iraq.

International companies taking part in Iraq’s oil and gas sector withdrew due to security, political, and technical challenges; however, the Iraqi government seeks to stimulate this sector and re-attract investments by providing a suitable investment environment and encouraging strategic partnerships with major companies.

The Ministry of Oil’s announcement of the new licensing round is part of the country’s efforts to strengthen its energy sector and achieve sustainable development.

The Iraqi Ministry of Oil said last Thursday that it will begin accepting bids from foreign companies on April 27 for contracts to explore oil and gas reserves. However, the ministry later revealed on Wednesday that the step has been delayed and will now take place at a later date.

The spokesperson for the Oil Ministry, Asem Jihad, revealed last week that the government aims to reduce imports that are straining the national budget and produce the natural gas needed to operate power plants.

Jihad illustrated that the ‘fifth plus’ round comprises 16 projects, some of which were not granted in the fifth licensing round, while the sixth round will mostly offer exploratory gas blocks.

The governorates of Nineveh, Anbar, Karbala, Najaf, Babylon, Qadisiyah, Muthanna, Basra, Thi Qar, Maysan, Wasit, Diyala, and the capital Baghdad are all included in the projects, according to Jihad.

Iraq’s location stands out among the most important regions in the global oil and gas industry due to its strategic location and huge reserves of natural resources, which provide the country with distinct opportunities for investment and development in this vital sector.