Petronor Clinches Shell Agreement to Join Iraq Energy City

Petronor FZE, an oilfield services company operating in Iraq, announced today that, following South Oil Company (SOC) approval, has signed a contract with Shell to provide offices and accommodations in its Iraq Energy City near Basra. A next-generation oilfield supply base, Iraq Energy City provides working and living space to a wide-array of oilfield service and independent contracting companies and is an ideal base for operations in Southern Iraq. Located near South Oil Company’s (SOC) Bergessia base and the Basra airport on land leased by Petronor FZE from the Ministry of Oil (MoO) through a contract with SOC, Iraq Energy City has a future capacity of 5,000 residents and is already home to several international companies.

“We see the demand and excitement growing for Iraq Energy City,” said Peter Day, Petronor CEO. “Majnoon is one of the largest fields in the World, and companies like Shell realize the importance to entry into Iraq and the proximity of independent contracting companies living and working in the same oilfield base. We feel that our growing list of tenants will create a dynamic environment that will enable successful entry and operations in Iraq.”

Southern Iraq is experiencing a renewed oil rush since the Iraqi government awarded contracts worth more than $200 billion to international oil companies (IOCs) to develop fields near Basra. Iraq Energy City is ideally located to support Shell’s own development of the super-giant Majnoon oilfield.

“We are very pleased to welcome Shell to Iraq Energy City,” said Mr. Hans Hoiskar, General Manager of Petronor Iraq. “Our objective is to lower the barriers of entry into Iraq by creating an ideal living and working environment where security and operating costs can be shared and overall risks mitigated. “

A wide-range of companies have already committed to Iraq Energy City, creating a competitive local market for oilfield and related services. Being developed in a logical sequence, Iraq Energy will grow from camp accommodations to permanent structures for offices, warehouses, workshops and yards. In later development phases, the addition of apartment buildings, hotels, recreational facilities, retail outlets, and schools will enhance the living experience for workers and their families.

“The ability to interact with many different oilfield service companies and the short-time frame to taking up residence is very appealing to Shell,” said Mr. Hoiskar. “Furthermore, Iraq Energy City is in a prime location for easy-access to the Majnoon field, Basrah City, as well as the other southern Iraqi fields.”

About Petronor

Petronor, FZE, is a privately owned company with headquarters in Dubai, UAE. The company was founded in 2001 and provides services to the oil and gas industry in Iraq from its offices in Baghdad and operating bases at Baghdad International Airport and Iraq Energy City, Basra. In addition to Iraq Energy City, Petronor also offers oilfield services such as Environmental Studies and Water Services in partnership with Aquateam AS of Norway, and their Safe Fields™ technology where Mobile Collaboration Centers offer secure, remote access to oil fields in Iraq.

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