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Iraq Invests to Boost Nasiriyah Oil Field

By John Lee.

Oil Minister Jabar Ali al-Luaibi [Allibi, Luiebi] has ordered the state-run Dhi Qar Oil Company (DQOC) and Iraq Drilling Company (IDC) to develop the Nasiriyah oil field in Dhi Qar province.

He said the Ministry has budgeted $140 million to raise production from the current 90,000 barrels per day (bpd) to 200,000 bpd within a year.

The field has estimated reserves of 4.4 billion barrels of oil.

It was originally offered as part of a larger project, known as the Nasiriyah Integrated Project (NIP), which would include the contruction of a 300,000 bpd refinery.

In January 2018, Iraq dropped the NIP, saying it will rely on a newly formed state oil company to develop the Nassiriya oil field, and leaving only the nearby refinery project for investors.

(Source: Ministry of Oil)

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Baker Hughes to harness Flare Gas at Gharraf & Nassiriya

By John Lee.

Baker Hughes has signed a contract to harness 200 MMcf/d of natural gas from Iraq’s Nassiriya and Gharraf oil fields.

The Nassiriya field is operated by the state-run Dhi Qar Oil Company (DQOC) and currently producing around 70,000 barrels per day of crude oil, with a target of 150,000 bpd.

Gharraf is operated by Petronas and is producing around 88,000 bpd with a plateau production target of 250,000 bpd.

(Sources: Minister of Oil, Platts)

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Chinese Companies Win Al-Faw Projects

By John Lee.

Iraq’s Ministry of Oil has awarded the Al Faw [Al Fao] refinery and petrochemicals project to two Chinese companies.

In a statement, the ministy named the companies as Power China and “Nerco Chinese Companies“.

Mr. Assim Jihad, the spokesman of the Ministry,  said the refinery will have a capacity is 300,000 barrels/day.

He added that the project contains an integrated complex for petrochemicals, in addition to another facilities near the export port in Faw.

The ministry is planning to become self-sufficient in oil products by investing in the refining sector, and to become an exporting country.

Invitations will soon be issued to investment companies to participate in the Anbar refinery (150,000 bpd), Qayara refinery (10,000 bpd), and Thi-Qar [Dhi Qar] refinery (150,000 bpd), in addition to other projects to be announced soon.

(Source: Ministry of Oil)

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Lukoil signs Contract for Exploration at Block 10

Russia’s Lukoil has signed contracts with the state-owned Iraqi Oil Exploration Company to carry out seismic surveys at the Eridu field in Block 10, and also at Block 10’s southern and central parts, previously not part of the survey.

The scope of appraisal works at Eridu field includes a 3D seismic survey of 983 square kilometers to update the extension of the field and its geological structure.

At Block 10, 2D seismic acquisition of the southern and central parts is planned to be accomplished over an area of 3,500 linear kilometers to ensure the mapping of targets for prospect drilling.

The approved geological exploration plan for Eridu field envisages the drilling of additional appraisal wells on a mid-term horizon.​

Block 10, covering 5,600 square kilometers, is located in the governorates of Dhi Qar and Muthanna, 120 kilometers west of Basra. The interests in the project are: Lukoil – 60% (operator), Inpex Corporation (Japan) – 40%.

The Iraqi party to the agreement is represented by the state-owned South Oil Company (SOC).

The drilling of the first exploration well, Eridu-1, in February of 2017 led to the discovery of a major oilfield. Preliminary data indicate it is the most significant discovery in Iraq for the past 20 years.

The drilling of the second and third wells confirmed the field’s earlier assumed geological model.Block 10, covering 5,600 square kilometers, is located in the governorates of Dhi Qar and Muthanna, 120 kilometers west of Basra.

(Source: Lukoil)