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By John Lee.

Iraqi Prime Minister Mohammed S. Al-Sudani chaired a meeting on Sunday to assess summer electricity supply plans and the progress of oil sector projects.

The Minister of Electricity outlined strategies to ensure stable power supply, including fuel station operations, while the Minister of Oil detailed fuel supply plans for power plants, including floating and mobile platforms under review.

Key decisions included:

• Completion of a gas transmission line from Basra's power plants to a floating platform.
• Approval of a new 40km gas pipeline from Al-Mahmoudiya to Bismayah to ensure full-capacity operation of the Bismayah power plant.
• Assessment of fuel oil supply, storage, and import logistics.

The meeting also reviewed strategic oil projects, including:

• Basra-Haditha oil pipeline.
• Seawater supply pipelines and treatment plant at Basra Oil Company (BOC).
• Offshore pipeline expansions (third, fourth, and fifth phases).
• Artawi [Ratawi] gas complex (Phase II).
• Mansouriya, Akkas, and Faihaa [Block 9] field developments.
• FCC fluid catalytic cracking unit project.
• Fifth and sixth licensing rounds.

The meeting assessed progress on government program projects, with an update on execution rates as of February 2025.

(Source: PMO)

By John Lee.

The Oil Ministry has reaffirmed its commitment to the development of the Akkas gas field, with Deputy Minister for Extraction Affairs, Eng. Basim Mohammed Khudair, chairing a meeting to assess the project's progress.

Attendees included the Director General of Midland Oil Company (MdOC), the Director General of Reservoirs and Field Development, the Deputy Director General of the Petroleum Contracts and Licensing Directorate (PCLD), and representatives from Ukraine's Ukrzemresurs, the field's operator.

Discussions focused on expediting development plans to ensure gas supply for power generation, aligning with government directives to maximize gas investment and enhance energy security. Representatives from Ukrzemresurs confirmed that practical steps have been initiated to advance the project.

(Source: Ministry of Oil)

By John Lee.

Iraq's Minister of Oil, Hayan Abdul Ghani, highlighted the government's commitment to gas investment as a key driver for economic and industrial development at the Iraq Britain Business Council (IBBC) Baghdad Conference on Monday.

He outlined Iraq's major achievements in the oil and gas sector, including:

• Adding 380,000 barrels per day to refining capacity.
• Achieving self-sufficiency in diesel and kerosene production.
• Covering 80% of gasoline demand, reducing imports.
• Advancing gas projects, including the installation of a floating platform at Khor Al-Zubair port to import 500-600 mmscfd of LNG.

Abdul Ghani emphasized Iraq's strategy of integrated projects, linking oil production, gas utilization, power generation, refining, and petrochemical industries. He cited the reactivation of fifth licensing round contracts, the development of Akkas (400 mmscfd) and Mansouriya (300 mmscfd) gas fields, and the award of 14 new gas exploration blocks.

Iraq has also completed key gas processing projects, including Basra Gas BNGL (200 mmscfd) and Halfaya (300 mmscfd), with further expansions planned. The TotalEnergies South Iraq Integrated Project will capture 600 mmscfd of gas, boost oil production to 210,000 bpd, and implement a 5 million bpd seawater injection project.

On renewable energy, Iraq has secured commitments for 8,000 MW of solar power at oil field sites. Meanwhile, the government is progressing with a 700 km, 56-inch oil pipeline from Basra to Haditha, supporting domestic refineries and export capacity.

Regarding Kurdistan's oil exports, Abdul Ghani confirmed that the Iraq-Turkey Pipeline (ITP) will be reactivated following amendments to the budget law, with ongoing arrangements for implementation.

He reiterated Iraq's commitment to carbon reduction, stating that oil-producing nations can play a critical role in energy efficiency and ensuring competitiveness through low-carbon crude production.

(Source: Ministry of Oil)

By John Lee.

Iraq's Minister of Oil, Hayan Abdul Ghani, received the Ukrainian Ambassador to Baghdad, Ivan Dovhanich, on Wednesday.

The meeting was also attended by Deputy Head of the Diplomatic Mission, Sergiy Pushkarsky, Economic Affairs Representative Oleg Ishchenko, Director General of Ukrzemresurs, Maksym Mustafin, and the company's Iraq Director, Maksym Novikov.

Discussions focused on bilateral cooperation in the oil, gas, and energy sectors.

Last April, Iraq signed a contract with Ukrzemresurs to develop the Akkas gas field in Anbar Province. The Ministry of Oil subsequently defended the deal.

(Source: Ministry of Oil)

By John Lee.

Prime Minister Mohammed Shia Al-Sudani has launched the construction of three projects related to additional combined-cycle units for electricity generation.

• South Baghdad Gas Fired Power Plant, with a design capacity of 125 MW. Implemented by China's Dongfang Electric;
• Mansuriyah Gas Fired Power Station in Diyala Province, with a design capacity of 362 MW; and
• Akkas Gas Fired Power Station in Anbar Province, with a design capacity of 125 MW.

The Prime Minister emphasized that these combined-cycle projects will provide additional electricity without the need for additional fuel. This will reduce natural gas imports and help in addressing the needs of areas with higher energy demand, with a target production of 4,000 MW from combined cycle operations.

The Prime Minister also highlighted the government's approach to adopting an economic model that ensures fairness between the state and investors and regulates consumption. Final agreements have been reached on this economic model, which will be announced to the private sector and both local and international companies. This model will be applied to the 10,000 MW electricity generation project, with the Ministry of Electricity having already submitted its final vision on transmission and distribution projects.

The Prime Minister also highlighted the move towards renewable and environmentally friendly energy projects. A specialized team is working to shift government buildings to rely on solar energy, with reputable global companies offering proposals to implement solar energy projects at the provincial level, based on an economic model that will be adopted.

(Source: PMO)

By John Lee.

Ukrainian President has named a new ambassador to Iraq.

In a statement on Friday, Volodymyr Zelenskyy appointed Ivan Ivanovych Dovganych [Dovhanych] to the role.

In April, Iraq signed a contract with Ukrainian company Ukrzemresurs to develop the Akkas gas field in Anbar Province.

(Source: Office of the Ukrainian President)

By John Lee.

Iraq's Middle Oil Company [Midland Oil Company] has signed a preliminary agreement with a joint venture consisting of the Chinese company Jereh and Petro Iraq to develop the Mansuriyah gas field.

Deputy Minister for Extraction Affairs, Bassem Mohammed Khudair, stated that this contract is part of the Ministry of Oil's efforts to invest in gas resources following the signing of the Akkas gas field development contract.

The ministry aims to eliminate flaring and complete ongoing projects, in addition to activating contracts from the fifth and sixth licensing rounds, covering 13 fields across 10 provinces.

General Manager of the Central Oil Company, Mohammed Yaseen, announced that the initial production from the Mansuriyah gas field in Diyala Province is expected to reach 100 million cubic feet per day within 18 months, with peak production of 300 million cubic feet per day projected within 4-5 years after the contract signing.

According to a statement at the end of April from the Media Office of the Prime Minister, the Council has approved the allocation of $506 million for the Midland Oil Company's 51-percent share in the project over the first three years, distributed as $73 million for the first year, $187 million for the second year, and $246 million for the third year.

This amount will be managed by the Midland Oil Company under an agreement with the Ministry of Finance. The project will be included in licensing rounds to settle dues with crude oil or condensates in line with existing licensing contracts.

Mansuriyah gas field was originally granted in Iraq's third licensing round (2010) to TPAO (37.5%), Oil Exploration Company (25%), Kuwait Energy (KEC) (22.5%), Kogas (15%). That contract was reported to have been cancelled in 2020. A new deal was signed with Sinopec in January 2022. In mid-2023, press reports suggest that the Sinopec deal was in doubt, following requests from the company to amend the contract.

(Source: Ministry of Oil)

By Simon Watkins for the OilPrice.com. Any opinions expressed are those of the author(s), and do not necessarily reflect the views of Iraq Business News.

Why Iraq Just Awarded A Strategically Vital Gas Field To A Ukrainian Firm

Russia-aligned Iraq has awarded the development of a crucial gas field to a Ukrainian firm.

The importance of the Akkas gas field for Russia, Iran, and China can barely be overstated.

Click here to read the full report.

By John Lee.

The Iraqi Ministry of Oil has defended its decision to award the development of the Akkas gas field to little-known Ukrainian company, Ukrzemresurs.

According to a statement from the Ministry, the decision followed Ukrzemresurs' application to the Contracts and Petroleum Licensing Directorate (PCLD), fulfilling the required standards and providing financial and legal guarantees. The ministry is processing the entry visas for the company's engineers, geologists, and technicians to facilitate the handover of the field and the start of contractual commitments.

Deputy Minister for Extraction, Bassem Mohammed Khudair, stated that the aim is to achieve an initial production of 100 million standard cubic feet per day (MMSCFD) during the first phase, scaling up to a peak production of 400 MMSCFD as per the contract timelines. Bassem Taher, Director General of the Contracts and Petroleum Licensing Directorate, confirmed that the qualification and contracting processes were neutral and rigorous, in line with other international companies.

The Ministry said Ukrzemresurs was the only company willing to develop the field under the existing contractual terms, in contrast to other companies' demands for changed conditions. The ministry aims to expedite the development of the Akkas gas field to bolster Iraq's energy sector with new production.

(Source: Ministry of Oil)

By John Lee.

Iraq has signed a contract with Ukrainian company Ukrzemresurs to develop the Akkas gas field in Anbar Province.

According to a statement from the Ministry of Oil, the goal is to increase national production by an additional 400 million standard cubic feet per day (MMSCFD) of gas within four years, to supply power stations; 100 MMSCFD is planned in the first stage (1-2 years).

The Ukrainian company will replace the South Korean company Kogas in operating the field.

Rights to the field were originally awarded to a consortium of Kogas and KazMunaiGas (KMG) in the third licensing round (October 2011), but KMG pulled out, leaving Kogas as sole investor and operator on new contract terms.

Shafaq News Agency quotes Ali al-Mashkoor, a member of the parliamentary committee, as expressing concerns about this deal, describing the Ukrainian company as "weak", and mentioning suspicions regarding the deal.

The company does not appear to be well known. D&B lists it as registered in Kyiv, and headed by Maksym Yuriiovych Mustafin.

(Sources: Ministry of Oil, Shafaq News Agency, D&B)