Exxon Mobil Rumoured to Abandon West Qurna

Sources in Baghdad have told Iraq Business News that Exxon Mobil has decided to abandon its contract at the giant West Qurna-1 oilfield in Southern Iraq, in favour of pursuing its interests in Iraqi Kurdistan.

In recent days the Iraqi Ministry for Oil has claimed to have received a second letter from Exxon in which it says it has “frozen” its contracts with the Kurdistan Regional Government (KRG); the KRG, on the other hand, denies that this is the case, and has described Baghdad’s claims as “rubbish”.

Exxon CEO Rex Tillerson said earlier last month that the company was committed to both exploring in Kurdistan, as well as to expanding its West Qurna output.

If this latest rumour is true, it would be a huge blow to the government of Nouri al-Maliki, and could jeopardise the planned 4th round of energy licences due to be auctioned at the end of May.

Exxon is the lead contractor at West Qurna-1, with a 60% stake, while Shell has 15% and the remaining 25% belongs to the Iraqi state.

3 Responses to Exxon Mobil Rumoured to Abandon West Qurna

  1. Lafta Ahmad April 6, 2012 at 7:42 am #

    IBN’s coverage of Iraq Energy Expo and Conference 23-26 April is insufficient; it lacks the most critical information as how to register for this event. This is not only my viewpoit, but it is of many of my acquaintances who want to participate but cannot find this critical information, without which they will not participate.

  2. Editor April 6, 2012 at 11:32 am #

    @Lafta Ahmad: Please click on the advertising for “Iraq Energy Conference” at the top of the IBN page, and it will take you to their website. There you will find, on the right hand side, a link called “Register to Attend”.

  3. […] to be abandoning their contract at West Qurna-1 in favour of pursuing their interests in Kurdistan. http://www.iraq-businessnews.com/2012/04/05/exxon-mobil-rumoured-to-abandon-west-qurna/ And, on 25 June 2012, they were said to be in talks to sell part of their stake in West Qurna -1 to […]

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  1. Scaramouche: Goodbye Shahristani, Hello Kurdistan.. | Dalesmann's NAVs - August 2, 2012

    […] to be abandoning their contract at West Qurna-1 in favour of pursuing their interests in Kurdistan. http://www.iraq-businessnews.com/2012/04/05/exxon-mobil-rumoured-to-abandon-west-qurna/ And, on 25 June 2012, they were said to be in talks to sell part of their stake in West Qurna -1 to […]