Archive for June, 2012
Halfaya oil field in Missan province is set to become the second green field to add significant production, after Ahdab, since Iraq’s oil ministry started awarding service contracts to international oil companies.
A ceremony to celebrate the first commercial production from Halfaya field at a rate of 70,000 barrels per day, is set for July, the director general of Missan Oil Co (MOC) Ali Muarij tells me. With this new output, which will be pumped to the export terminals in Basrah, MOC’s total output will rise to around 180,000 b/d. …
Now that the fourth bid round is wrapped and closed with just one gas exploration block awarded in addition to two oil exploration blocks, it is time for Iraq’s oil ministry to draw lessons from the lackluster bid round and devise new ways to explore the Western Desert, thought to contain much of Iraq’s gas potential.
The first lesson to draw is that upstream companies are not service companies, ready to jump in on whatever terms just because their petroleum costs are paid in addition to the fixed fee. They …
Bidders & Bids: None
Ministry’s maximum acceptable Remuneration fee: –
Location: The block lies within the northwestern part of Iraq, about 100 km west of Mosul by the Syria-Iraq border and covers an area of around 7,300 km2.
Geology: Located in Rutba-Jezira tectonic zone, large structures remain undrilled. Two wells have been drilled in the north and the south of the block. Oil was tested from the Miocene and oil shows were obtained from many Mesozoic levels.
Signature Bonus: $15 Million
Minimum Expenditure: $110 Million…