New Water Injection Facility at Rumaila

One of the most advanced water pumping facilities in Iraq has been constructed at the Rumaila oilfield to help boost oil production and support the field's long-term strategy.

Cluster Pump Station Six (CPS-6) is the first CPS facility to be built at Rumaila for around 40 years. It is also the first CPS constructed by the Rumaila Operating Organisation (ROO), the joint venture between the Basra Oil Company (BOC), bp, PetroChina and State Oil Marketing Organisation (SOMO), which operates the field.

Water injection is fundamental for sustaining Rumaila's high volumes of oil production. After almost 70 years of extracting oil, gas, and water, Rumaila's mature reservoirs have seen pressure levels fall; injecting water into the subsurface helps to replace this lost pressure and push oil and gas to the surface. Since CPS-6 has become fully operational, 18 formerly producing wells have been reactivated and around 63,000 additional barrels of oil per day are being produced for Iraq.

ROO Deputy General Manager, Hussein Abdul Khadim Hussein, said:

"Rumaila's daily oil production has increased by around 40% under ROO's stewardship. Key to this has been the water injection strategy, which rose from around 250 mbds in June 2010 to reach peaks exceeding 1.5 million barrels of water per day (bwpd) in 2021. CPS-6 marks a new chapter as we extend water injection to the south of the field for the first time in more than a decade and will help us to maintain high oil production for years to come."

Cluster pump stations pressurize treated industrial water to a specified level, which is then sent for injection into water injector wells in the field. With a capacity to inject up to 320,000bwpd, CPS-6's features include digital monitoring of the site's key equipment and components to manage pressure levels and ensure performance is maximized from the purpose-built control room.

The site has a pumping house with five powerful Sulzer pumps, each individually capable of pressurizing up to 80,000bwpd; a manifold to direct water to 20 injector wells; 2.5 km of piping inside the facility; 75 km of supporting pipeline infrastructure outside the facility, and an office for staff.

Construction entailed more than a million hours of work, and the installation of 16,700 metres of electrical cabling, 1,721 flanges and 575 valves. Multiple logistical challenges had to be overcome in order to adapt to the pandemic and to create a COVID-safe working environment, which included erecting fences inside the compound to delineate which contractor could operate in each part of the site.

ROO General Manager, Orkhan Guliyev, said:

"The full operation of CPS-6 is a major milestone in our drive to maintain oil production in the south of the field. For the past 11 years, water injection has been focused in North Rumaila - which has seen production increase by more than 150%. Safely injecting water in South Rumaila is a key part of ROO's strategy for future success."

Rumaila Special Deputy General Manager, Fan Jianping, added:

"Work has also begun to construct a second new pumping station, CPS-7, which will further our ambitions to ensure the reservoirs in South Rumaila continue to produce effectively and efficiently."

(Source: ROO)

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Iraq Oil Exports increase again in November

By John Lee.

Iraq's Ministry of Oil has announced preliminary oil exports for November of 98,192,317 barrels, giving an average for the month of 3.273 million barrels per day (bpd), up from the 3.120 million bpd exported in October.

The exports from the oilfields in central and southern Iraq amounted to approximately 95,860,149 barrels; we are still awaiting details of exports from Kirkuk, and via road to Jordan.

Revenues for the month were $7.590 billion at an average price of $77.333 per barrel.

October's export figures can be found here.

(Source: Ministry of Oil)

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KRG PM meets President of the Iraq Britain Business Council

The Prime Minister of the Kurdistan Regional Government (KRG), Masrour Barzani, on Saturday met Baroness Emma Nicholson, President of the Iraq Britain Business Council (IBBC).

Prime Minister Barzani highlighted the reforms of the ninth cabinet, its bid to diversify the economy and crucially to make the Kurdistan Region a focal point for business.

Baroness Nicholson gave a briefing on the council's work, especially its last conference which was held in Dubai and which concentrated on developing UK, Iraq, and Kurdistan Region trade relations.

(Source: KRG)

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Block 10 More Attractive for Lukoil than West Qurna 2

Writing in Oil Price, Simon Watkins points out that the $5.99-per-barrel remuneration that Lukoil will receive under its technical service contract at Block 10 is considerably better than its $1.15/barrel payment at West Qurna 2.

Block 10 includes the Eridu field, which has indicated oil reserves of between 7 and 12 billion barrels, and a proposed peak production rate of 250,000 barrels per day (bpd).

Lukoil has a 60-percent stake in Block 10, with Inpex owning 40 percent.

Click here to read the full article.

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Iraq Finalises October Oil Exports

By John Lee.

Iraq's Ministry of Oil has announced finalised oil exports for October of 96,708,660 barrels, giving an average for the month of 3.120 million barrels per day (bpd), up slightly from the 3.081 million bpd exported in September.

The exports from the oilfields in central and southern Iraq amounted to approximately 93,386,975 barrels, while exports from Kirkuk amounted to 3,011,917 barrels. Exports to Jordan by truck totaled 309,768 barrels.

Revenues for the month were $7.666 billion at an average price of $79.274 per barrel.

September's export figures can be found here.

(Source: Ministry of Oil)

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Basra Energy Company established to run Rumaila Oilfield

By John Lee.

The Iraqi Ministry of Oil has officially established the new Basra Energy Company (BEC), which will be the main contractor at the giant Rumaila oilfield, under a Technical Service Contract (TSC).

Representing BEC at the ceremony, Zaid Elyaseri (BP) said the field will be developed to reach a peak production of 1.7 million barrels per day (bpd), up from the current level of approximately 1.45 million bpd.

Oil Minister Ihsan Abdul Jabbar added that, "PetroChina and BP are the two shareholders with SOMO and Basra Oil Company (BOC)." PetroChina is a subsidiary of the China National Petroleum Corporation (CNPC).

(Source: Ministry of Oil)

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IDC to Drill 37 Wells at Zubair Oil Field

By John Lee.

The Iraqi Drilling Company (IDC) has signed a contract with Schlumberger to provide drilling services for 37 oil wells in the Al-Zubair field in Basra for the Italian company ENI, which will operate the field.

The Director General of the Iraqi Drilling Company, Basem Abdul Karim, said that the contract includes the operation of the two drilling rigs IDC 37 and IDC 38.

The targeted reservoirs in this project are the Mishref reservoir, Nahr Bin Omar, and the Zubair reservoir, where new drilling operations contribute to increasing the production capacity of the aforementioned field.

(Source: Ministry of Oil)

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Petronas opens New Well at Garraf Field

By John Lee.

Petronas Carigali Iraq Holding B.V. has opened its K-123 well in the Garraf Contract Area in Dhi Qar.

Present at the event were, Petronas Vice President International Assets of Upstream Mr. M Jukris A Wahab; Director, Managing Executive Officer and President of Middle East, Asia & Europe Project Division of Japex, Mr. Toshiyuki Hirata; and Petronas Iraq Country Chairman, Mr. Norafizal Mat Saad.

The field is operated by Petronas (45%), Japex Garraf Ltd (30%), and North Oil Company (25%). (Japex Garraf Ltd is owned as follows: Japex 55%, Mitsubishi Corporation 10%, and JOGMEC 35%).

(Source: Petronas)

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Chevron’s Oil Deal with Iraq “is One to Watch”

Writing in Oil Price, Simon Watkins says that, given the negative history of dealing with China over the Nassiriyah project and the fact that Russia is occupied elsewhere in the country and the region, the United States might be in an unusually positive position to take a significant role in either the Nassiriyah field development alone or in the broader Nassiriyah Integrated Project (NIP).

Click here to read the full article.

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LUKoil files Development Plan for Iraq’s Eridu Oilfield

By John Lee.

Russia's LUKoil and Japan's Inpex Corporation have applied to Iraq's state-owned Dhi-Qar Oil Company (DQOC) for what Lukoil describes as "commerciality of reserves", and filed a preliminary proposal on the development of the Eridu oil field within Block-10.

According to Lukoil, geological exploration has proved significant reserves, making Eridu the largest discovery in Iraq in the last twenty years.

Oil Minister Ihsan Abdul Jabbar told the Iraqi News Agency (INA), that "the results of the exploration for the Arido field are good ... Lukoil requested an extension of the period to obtain greater reserves."

The Eridu field was discovered in 2016. Preliminary expectations based on studies presented by the Lukoil indicate oil reserves of between 7 and 12 billion barrels, and a proposed peak production rate of 250,000 barrels per day (bpd).

Lukoil has a 60-percent stake in Block 10, with Inpex owning 40 percent.

(Sources: Lukoil, INA, Ministry of Oil)

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