The British company BP will invest up to $25 billion in projects to develop oil and gas fields in Kirkuk, Iraq, Reuters reported.
The initial production of hydrocarbons under the agreed contract is set at 328,000 barrels per day. This figure “marks the beginning of the contract and any increase beyond that level will be achieved through development operations“, said Iraqi Deputy Prime Minister and Oil Minister Hayyan Abdel Ghani.
Under the agreement, BP will work with Iraqi state-owned companies North Oil Company (NOC) and North Gas Company (NGC) to restore and expand production in the Baba and Awanah domes of the Kirkuk field, as well as in three neighboring fields: Jambur, Bai Hassan and Khabbaz.
According to industry sources, the project, which is in its early stages, will be facilitated by the resumption of supplies through the Kirkuk-Ceyhan pipeline. The length of Iraq's largest oil pipeline, connecting the Kirkuk fields to Turkey, is 970 km.