Iraq signs an associated gas treatment agreement with Siemens Energy, Schlumberger
Gas flares burn at an oilfield in Iraq. Photo: AFP
Baghdad (IraqiNews.com) – The Iraqi Ministry of Oil said on Sunday that it signed a memorandum of understanding with Siemens Energy and Schlumberger to utilize associated gas in oil fields in Iraq.
The Oil Ministry said in a statement that the processed associated gas will be used to fuel power plants, the Iraqi News Agency (INA) reported.
According to the Iraqi Minister of Oil, Hayan Abdul-Ghani, the technology that these companies possess would enable the ministry to use the memorandum of understanding to speed up the plan for using and processing large amounts of gas from oil fields.
Abdul-Ghani indicated that the Ministry of Electricity signed a different memorandum of understanding with Siemens in support of the energy sector.
Siemens Energy in Iraq announced earlier in March that it is planning to engage in investments related to the associated gas in southern Iraq.
The company’s executive director in Iraq, Muhannad Al-Saffar, told INA that Siemens is collaborating with the Iraqi government to invest in associated gas for environmental reasons as well as to reduce government spending.
The Iraqi Minister of Electricity, Ziyad Ali Fadel, said in January 2023 that one of the major problems the Ministry of Electricity suffers from is the lack of fuel, explaining that the government should utilize the associated gas as a solution as it will reduce the operational costs spent on gas imports.
Siemens provides electricity to about 23 million Iraqis through 13 power plants distributed in the Iraqi governorates.