CNPC completes phase 1 of Iraq oil field development

27 June 2011

Al-Ahdab was first oil field contract signed after fall of Saddam Hussein

China National Petroleum Corp (CNPC) has completed the construction of its first phase of the Al-Ahdab oil field development, in the Wasit province of eastern Iraq.

Work on the Al-Ahdab oil field began in March 2009, after the company signed Iraq’s first post-Saddam oil field contract in 2008. Under the $4bn deal, CNPC agreed to raise production to between 110,000-130,000 barrels a day (b/d), China Petroleum Daily reports.

Phase 1 has boosted production capacity to 60,000 b/d ahead of schedule, according to the CNPC in-house newspaper.

CNPC is the largest investor in Iraq’s oil sector, partnering with the UK’s BP at the Rumaila field and a consortium of France’s Total and Malaysia’s Petronas at the Halfaya oil field. In May, the state-owned firm received its first cargo of crude oil from the Rumaila field as payment for its part in the development (MEED 30:5:11).

A MEED Subscription...

Subscribe or upgrade your current MEED.com package to support your strategic planning with the MENA region’s best source of business information. Proceed to our online shop below to find out more about the features in each package.