Iraq’s Oil Ministry has established three new subsidiaries to provide services for the sector, including two companies to operate the country’s 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 Iraq’s 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 Iraq’s 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 Ministry’s 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 country’s 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.