ExxonMobil has become the latest international oil company to agree a reduction in its crude oil production targets in Iraq.

The US oil major has signed an initial agreement with the Oil Ministry to cut the plateau production target for the giant West Qurna-1 oil field to 1.6 million barrels a day (b/d) from the original 2.35 million b/d, Abdul Mahdi al-Ameedi, the head of the ministry’s contracts and licensing directorate, told local and international reporters.

The agreement still requires approval from the Iraqi cabinet. No details were given on possible extensions to the contract.

In July, the Oil Ministry announced it had reached an agreement with a consortium led by Italy’s Eni to reduce the plateau target at the Zubair oil field to 850,000 b/d, from 1.25 million b/d. The Zubair field development contract was also increased to 25 years from the original 20.

The table below shows the original and new production targets for each of the awarded oil fields.

IRAQ OIL PRODUCTION TARGETS
Field Operater Original plateau production target (b/d) New plateau production target (b/d) Changes to contractual terms
Badra Gazprom (Russia) 170,000 na na
Gharraf Petronas (Malaysia) 230,000 na na
Halfaya Petrochina (China) 535,000 na na
Majnoon Shell Group (UK-Dutch) 1,800,000 1,000,000* Shell is still in talks with the Oil Ministry to reduce the Majnoon target to 1 million b/d.
Missan China National Offshore Oil Company (China) 450,000 na na
Najma Sonangol (Angola) 110,000 na na
Qayara Sonangol 120,000 na na
Rumaila BP (UK) 2,850,000 2,000,000-2,400,000* BP has proposed three new plateaus and extended production periods; a high scenario of 2.4 million b/d, a medium scenario of 2.2 million b/d and a low case of 2 million b/d. No agreement has been reached so far.
West Qurna-1 ExxonMobil (US) 2,350,000 1,600,000 Needs approval from Iraqi cabinet. No announcement on contract length.
West Qurna-2 Lukoil (Russia) 1,800,000 1,200,000 Amended deal signed in January 2013, reducing the production target and extending the plateau length from 13 to 19.5 years.
Zubair Eni (Italy) 1,250,000 850,000 Amended in July 2013, the contract period has also been increased to 25 years, from the original 20.
Total   11,515,000 9,065,000-9,465,000 New total depends on agreement of Rumaila target, so is provided as a range.
na=Not available; *= Not yet agreed. Source: MEED