Shell announced today that the Majnoon oilfield it operates in partnership with South Oil Company (SOC), Petronas and Missan Oil in Southern Iraq has successfully exported its first shipment of crude oil to Shell trading, a significant milestone for the oilfield.
The achievement comes as production at the Majnoon oilfield has reached a current average of 210,000 barrels of oil per day, well in excess of the 175,000 barrels per day (bpd) First Commercial Production target which initiates the commencement of cost recovery and was achieved after extensive rehabilitation works at the oilfield.
Hans Nijkamp, Vice President and Chairman of Shell in Iraq, said:
“This is a historic event for Iraq’s energy industry. The lifting of Shell’s first oil shipment from Majnoon has great significance to us and our partners in the Government as it is a testimony to our shared progress and signals the start of Majnoon’s long-term journey toward generating further revenue for Iraq’s economy, and as an investment in Iraq’s future.”
Mr. Nijkamp added that progress on the Majnoon field would not have been possible without the support of the South Oil Company and our partners Petronas and Missan Oil Company.
Shell and its partners successfully recommenced production from Majnoon in September 2013 following the completion of major overhaul works, including 28 square kilometres of mine clearance, extensive refurbishment of brownfield facilities to meet safety standards, and the construction of a new greenfield central processing facility – the largest to be built in Iraq in the last decade – to allow for increased production capacity. To date, 18 new wells have been drilled, while the project has created more than 2,850 jobs for Iraqi’s from the neighbouring communities.