Iraq has ambitious plans to build on its booming energy sector. The sector will be used to build upon its petrochemicals industry, Iraq is looking to foreign firms to invest up to $35 – 50 billion from 2017 – 2023. During this period the plans aim to produce around 10 million tonnes of petrochemicals a year.
The Iraqi Government is currently in negotiations with Royal Dutch Shell and Chevron Phillips to invest in parts of the project. In November, Iraq signed a $17 billion contract with Royal Dutch Shell and Mitsubishi to capture flared gas from its oilfields in the south of the country.
Royal Dutch Shell is in talks and has signed a Memorandum of Understanding with the Iraqi Government. This in turn will lead to the construction of a petrochemical factory, it is projected to cost $8 - 10 billion. The factory will be situated in the southern city of Basra. Meanwhile Chevron Phillips are interested in rehabilitating a petrochemical factory in Basra and building a new one.