The South oil Company (SOC) celebrated the 5th anniversary of establishing the authority of Rumaila oil field operation. The celebration was attended by the deputy minister of up-streaming Mr. Fayadh H. Niema and a number of officials in the ministry.
Mr. Fayadh ensured that the current production from the field is (1.350) million barrels / day which is considered as 40% of the Iraqi production. He said that the ministry is aiming to raise the production to (2.1) million barrels / day.
Mr. Fayadh said also that the ministry is working on to raise the oil production to higher levels within the next five years according to the plans despite the challenges facing Iraq. This action “as he said” will need extra work by the staff of the ministry and the operating companies in the oil fields to achieve this raise of exports.
More about Rumaila Oil Field Operation
The twenty-five year Technical Service Contract (TSC) was signed between SOC and BP (47.6%), PetroChina (46.4%) and the State Oil Marketing Organisation (SOMO) (6%), which sets out the framework to re-develop Rumaila and significantly increase production output.
The Government of Iraq receives about 98% of the revenue from the 25-year TSC.
In June 2010, the Rumaila Operating Organization was formed as a joint venture with these organizations with the remit to operate and redevelop the field, with BP as the lead contractor. In September 2014, the TSC was extended by another five years to service the field through to 2034, with the target of producing 2.1 million barrels per day.
Today, over 7,000 people from SOC, BP and PetroChina (93% of them Iraqi) and over 22,000 contractors (most of them from Basra) support Rumaila’s operations