By HASSAN HAFIDH
Iraq's oil ministry on Tuesday invited international
companies to bid to develop the giant Nassiriya oil field in
southern Iraq and build a nearby refinery in a package deal.
The project contemplates the integrated
development of the (4+) billion barrel Nassiriya oil field in
Thi-Qar province together with the construction and operation of a new
300,000 bpd refinery," the ministry said in a
statement on its website.
Potential bidders would join upstream companies already
qualified by the ministry to develop the project, it said.
Earlier this year, the head of the oil ministry's petroleum
contracts and licensing directorate, Abdul Mahdy al-Ameedi,
said some 47 prequalified upstream firms will be invited to
compete for the project.
The contract would come in a package that would include the
construction of a refinery and will have more
favorable terms than the previous service contracts that Iraq
signed with international oil companies, he said, without
giving further details.
A consortium of three Japanese companies comprising JX
Holding, Inpex and JGC Corp. had negotiated the Nassiriya oil
field for three years. But negotiations were called off at the
last minute in 2009 over financing reasons.
Nassiriya's proven crude oil reserves of more than 4.4
billion bbl make it an attractive investment
Iraq's three aging main refineries - Dura, Baiji, and Basra
- are producing at 70% of capacity, equivalent to around
Iraq hopes to increase its refining capacity to at least
750,000 bpd this year.
Dow Jones Newswires