The Russian oil company Lukoil and Iraq’s Basra Oil Company have signed an agreement on the development and oil production at the West Qurna-2 field, located near Basra in southern Iraq. The agreement notably provides for the gradual doubling of the field’s oil production, with a plateau level eventually reaching 800 kb/d against 400 kb/d currently. In addition, the agreement provides for better conditions and prolongation of the service contract for 10 years until 2045, as well as investments into further development of the project. The field development plan envisages bringing new multi-well pads into production, commissioning oil treatment facilities and complex gas treatment facilities for the Yamama formation, construction of export pipelines and water flooding units, as well as expansion of the tank battery.
In March 2023, the Iraqi state-owned Thi-Qar Oil Company also gave approval to Lukoil and Inpex (Japan) for the 250 kb/d Eridu oilfield development plan; the project, located in Block 10, has estimated oil reserves of 12.9 Gbl.
The two-phase West Qurna field is one of Iraq’s largest oil field, with recoverable reserves estimated at 43 Gbl (around 14 Gbl for West Qurna 2).
Iraq, which has total proved oil reserves standing at 19,730 Mt (144 Gbl), produced 220 Mt (4,510 kb/d) of crude oil and NGL in 2022 (+9% compared to 2021).