Baghdad: Oil Minister Bassem Mohammed Khudair affirmed that the ministry is working on implementing a comprehensive strategy to develop the oil and gas sector. This strategy includes increasing production and exports, diversifying export outlets, upgrading refineries, investing in gas, reducing flaring, enhancing the participation of Iraqi companies, and building national capabilities.
According to National Iraqi News Agency, Khudair stated during the opening of the fourth edition of the Iraq Oil and Gas Projects and Licensing Rounds Exhibition: ‘International companies, with the continued support of the esteemed government, have been able to achieve significant progress, most notably increasing oil exports from approximately 200,000 barrels per day when the government took office to more than 3 million barrels per day this September.’
He added: ‘Diversifying export outlets was achieved through the signing of the Iraqi-Turkish agreement, which contributes to reactivating and strengthening the northern outlet and opening new routes for Iraqi oil. This is in addition to proceeding with strategic projects with a consortium of American companies Chevron and TE, and their Qatari partner UCC, to connect Basra to Fishkhabur with a branch towards Banias. This will enhance the security of Iraqi exports and provide them with greater flexibility in accessing global markets.’
He noted that “a number of important agreements were signed with the Prime Minister to develop oil fields and exploration blocks, and to implement strategic oil infrastructure projects.”
He explained that “the refining sector has been placed among the priorities for the next phase, because the goal is no longer limited to increasing crude oil production and exports, but rather to increasing refining capacities, ensuring the sustainability of production, meeting domestic consumption, and developing a plan to upgrade refineries and achieve, as a first step, self-sufficiency, and then exporting petroleum products.”
He pointed out that “these opportunities will be announced soon, and from this platform, we invite all companies and investors to compete in this vital economic sector.”
He affirmed that “the Ministry, after intensive negotiations, succeeded in convincing the Japanese company JGC to return to Iraq and resume work on the FCC project at the southern refineries, which represents an important step in increasing the production of petroleum derivatives and maximizing the added value of Iraqi oil.”
He explained that “the Ministry’s vision for the next phase is based on building a more integrated oil sector by increasing production and exports, diversifying export outlets, developing refineries, investing in gas and reducing flaring, enhancing partnerships with Iraqi companies and building national capabilities, combating corruption in all its forms, and dealing with international companies and subcontractors with complete transparency and integrity to provide an effective investment environment that ensures the achievement of objectives for both parties.”
Khodair welcomed “the international companies participating in this conference,” emphasizing that “Iraq possesses vast investment opportunities in the fields of exploration, production, gas, refining, infrastructure, and oil services, and that the Ministry of Oil is keen to build genuine partnerships that achieve common interests.”
He added, “The next phase represents the beginning of a new era in which we move from addressing crises to building sustainable solutions, from exporting oil to maximizing added value, from flaring gas to investing in it, and from importing products to producing them locally and achieving self-sufficiency.”
In closing, Khudair welcomed the participants to the conference and exhibition, expressing his hope that it would “serve as a platform for launching more projects and partnerships that contribute to the development of the oil and gas sector and the achievement of sustainable development for Iraq.”