Oil Ministry establishes subsidiaries to provide services
Iraqs Oil Ministry has established three new subsidiaries to provide services for the sector, including two companies to operate the countrys oil and gas pipeline infrastructure.
The Oil Services Company has been formed with a capital of ID100bn ($85.8m) to manage the drilling and maintenance operations at Iraqs wells.
The Oil Pipeline Company for Crude Oil Transportation has a capital of ID300bn and is intended to operate crude pipelines, pumping stations and storage depots. Its responsibilities also cover export terminals, according to Oil Ministry spokesman Asim Jihad, along with the pipeline network feeding Iraqs power plants.
Working in parallel with the oil transport company is Pipeline Company for Gas Transportation, with another ID200bn in capital, which will operate and maintain dry gas and liquid petroleum gas (LPG) links and storage terminals.
No reason has been given for creating the new firms and it is unclear how they will work alongside the Oil Ministrys existing organisations such as Iraqi Drilling Company and the Iraq Oil Pipelines Company, which have similar remits.
The ministry, which has acted as both the regulator and operator of the countrys oil sector, has a number of subsidiaries established to carry out its operating functions. The authority has been calling for the re-establishment of the Iraq National Oil Company (INOC) to resume the role of operator, leaving the ministry with a purely policy and regulatory role.
|Iraq oil sector structure|
|Oil Ministry||All||Regulator and operator of oil and gas sector since 1987|
|Iraq National Oil Company||All||Merged with Oil Ministry in 1987; proposal to re-establish the company has been with parliament since 2007|
|South Oil Company||Upstream||Oil and gas production in Basra, Dhi-Qar and Muthanna provinces|
|North Oil Company||Upstream||Oil and gas production in Baghdad, Kirkuk and Ninevah provinces|
|Missan Oil Company||Upstream||Oil and gas production in Missan province|
|Midland Oil Company||Upstream||Oil and gas production in Anbar, Babil, Diyala, Diwaniya, Karbala and Wasit provinces|
|North Gas Company||Gas processing||Development and utilisation of associated gas reserves in northern Iraq|
|South Gas Company||Gas processing||Development and utilisation of associated gas reserves in southern Iraq|
|Basra Gas Company||Gas processing||Joint venture between South Gas Company, UK/Dutch Shell Group and Japans Mitsubishi to capture and use associated gas from southern oil fields|
|Iraq Oil Pipelines Company||Midstream||Operation and maintenance of nation-wide oil and gas pipeline network|
|Oil Pipeline Company for Crude Oil Transportation||Midstream||Operation and maintenance of crude pipelines, pumping stations, storage depots, export terminals and pipeline network feeding Iraqs power plants|
|Pipeline Company for Gas Transportation||Midstream||Operation and maintenance of dry gas and liquid petroleum gas pipelines and storage terminals|
|North Refineries Company||Downstream||Operation and maintenance of Baiji, Seniyah, Kasik, Kirkuk and Qayara refineries|
|South Refineries Company||Downstream||Operation and maintenance of Basra, Thi-Qar and Missan refineries|
|Midland Refineries Company||Downstream||Operation and maintenance of Daura, Najaf, Haditha, Diwaniya and Khanaqin refineries|
|Oil Exploration Company||Exploration||Oil and gas exploration activities in Iraq outside of blocks awarded to international oil companies|
|Iraqi Drilling Company||Drilling||Provision and operation of drilling rigs|
|Oil Services Company||Oil services||Management of drilling and maintenance operations at Iraqs wells|
|Oil Products Distribution Company||Midstream||Distribution of oil products|
|State Oil Marketing Organisation||Midstream||Marketing of oil products|
|State Company for Oil Projects (Scop)||Projects||Acts as client for major oil and gas schemes|