+44(0) 800 772 3004
marketing@ziyen.com

French company TOTAL To Invest In Four Giant Projects In Iraq

TOTAL signs a multi-billion dollar agreement with Iraq for four energy projects including the common seawater supply project that Iraq has been trying to develop for over a decade.

TOTAL, a major oil producer in France recently signed an agreement with Iraq's oil ministry for four giant energy projects worth several billions aimed mostly at the country's southern part.

This is seen as Iraq's move to reduce the country's dependence on Iran for their energy generation. They have been importing gas and electricity from Tehran in an effort to avert acute power shortages that have resulted in massive protests in the past. 

The project will include the common seawater supply project or CSSP that Iraq has been trying to develop in over a decade. It's aim was to desalinate seawater which will be injected into oil fields. It will be vital in maintaining and finally expanding production at mature fields in southern Iraq.

The CSSP project, however, has been awarded before in 2019 to South Korea's Hyundai Engineering and Construction valued at $2.45 billion. The goal was to supply 5 million barrels per day (bpd) of water for injection into oil fields during the first stage and expected to be completed in four years. There were provisions for further expansion but according to Thamir Ghadhban, former minister of oil in an interview with Argus, the ministry is still in an advanced stage of negotiation and yet to see some progress.

Another project aims to boost the crude capacity at the Ratawi field in Basrah from 60,000 bpd to 200,000 bpd. They will also invest in processing facilities to procure associated gas from Ratawi, West Qurna 2, Majnoon, Luhais and Tuba oil fields.

The fourth will be the construction of solar power plants with a capacity of 1,000MW for the Ministry of Electricity. The exact location hasn't been disclosed yet.

The agreement is set to be submitted to Iraq's cabinet for approval.


Categories

Read more news like this

Categories
Oil and Gas News