The UK/Netherlands Royal Dutch Shell has completed the sale of its entire 19.6 per cent stake in Iraq’s West Qurna 1 oilfield to Japan’s Itochu Corporation for $406m.

The deal comes shortly after the company agreed to exit the Majnoon oilfield, one of the largest fields in Iraq, and hand over its operation to state-run Basra Oil Company (BOC) by the end of June.

Shell says its other businesses in Iraq are not affected by the divestment.

As part of the deal, Itochu will also assume debt of $144 million.

The West Qurna 1 oilfield is operated by Exxon Mobil and produces around 405,000 barrels a day.