TotalEnergies to start operations in long-delayed project in second half of 2023
The tower housing the headquarters of the oil company TotalEnergies in Courbevoie, France. Photo: Depositphotos
Baghdad (IraqiNews.com) – Iraq expects TotalEnergies to start operations in a long-delayed oil, gas, and renewable energy project, at 27 billion USD, in the second half of 2023, Sky News Arabia reported.
The Undersecretary of the Ministry of Oil for Extraction Affairs, Bassem Khudair, explained that the project is waiting for the finalization of side contracts with the state oil company.
Khudair clarified that TotalEnergies and Basra Oil Company (BOC) are finalizing some contractual procedures and documents necessary to activate the contract.
The Iraqi official added that meetings are continuing with TotalEnergies to avoid any delay, and the contract will be activated in the second half of 2023 to start operations.
The agreement was concluded in 2021, according to which TotalEnergies will implement four oil, gas, and renewable energy projects with an initial investment of ten billion USD in southern Iraq over 25 years.
Qatar Energy will also have a share in the project.
The project was postponed amid disagreements between Iraqi politicians over the terms of the agreement.
Iraq announced in April the approval of a smaller share in the project by 30 percent.
Baghdad hopes the agreement will attract foreign investments again to the country that is witnessing relative stability after years of conflict and tensions.