Iraq’s Oil Ministry, Crescent Petroleum to develop oil and gas fields
Iraq’s Ministry of Oil signing the contract agreements with Crescent Petroleum.
Baghdad (IraqiNews.com) – To evaluate, develop, and produce oil and gas from two blocks in the Diyala Governorate and one in the Basra Governorate, Crescent Petroleum and the Iraqi Ministry of Oil have signed three twenty-year contracts.
The Diyala Province’s Gilabat-Qumar and Khashim Ahmer-Injana fields will be developed by Crescent Petroleum with a goal of producing 250 MMscfd of natural gas at first. To increase the amount of oil and gas supplies, a third exploration block, the Khider Al-Mai block in the Basra province, will be investigated and developed.
Thousands of new jobs will be created in Diyala and Basra as a result of the deals, which will also provide much-needed natural gas to run adjacent power plants and enhance governmental services. The contracts come after Crescent Petroleum’s victory in the fifth round of the Oil Ministry’s bidding process.
Iraqi Prime Minister Mohammed Shia Al-Sudani, Deputy Prime Minister for Energy Affairs and Minister of Oil Hayan Abdul Ghani, Crescent Group Chairman Hamid Jafar, and Crescent Petroleum CEO Majid Jafar all took part in the signing of the contracts today at the Oil Ministry in Baghdad.
According to the Iraqi Prime Minister’s office, Al-Sudani stated that the efforts for associated gas and natural gas investment derive from a clear commitment to realize economic changes in Iraq, which are the major emphasis of the latest government program.
The contracts were signed by Qadouri Abed Salim, Director General of Midland Oil Company, and Basim Abdulkarim, Director General of Basra Oil Company, in addition to Abdulla Al Qadi, Executive Director of Exploration and Production for Crescent Petroleum.
“We are pleased to commence this long-term partnership with the Government of Iraq. Our new planned investments and operations will create thousands of new jobs and support the local and national economy,” said Al Qadi. “Gas and oil supplies from these operations will help improve services and local economic development for the people of Iraq.”
Within 18 months, the first gas from the Diyala activities is anticipated to fuel local power plants. On-site infrastructure, pipelines, and a processing facility will all be built by the firm to provide gas.