Baghdad: Prime Minister Mohammed Shia’ Al-Sudani on Monday oversaw the signing of two preliminary principles agreements in the oil sector, in a move aimed at advancing field development and completing sectoral reforms.

According to National Iraqi News Agency, the first agreement was signed between Basra Oil Company and Chevron for the transfer of management of the West Qurna/2 oil field. The second agreement was concluded between Dhi Qar Oil Company, North Oil Company, and Chevron to develop the Nasiriyah oil field and four exploration blocks in Dhi Qar province, in addition to developing the Balad field in Salah al-Din province. The agreement also included an amendment to the previous contract to incorporate the Nasiriyah field.

The signing ceremony was attended by US Special Envoy to Iraq Tom Barrack and Charg© d’Affairs Joshua Harris. Prime Minister Al-Sudani emphasized the importance of these agreements in completing oil sector reforms, noting their anticipated positive impact on economic conditions and living standards in Dhi Qar and Salah al-Din provinces.

In a separate development, Basra Oil Company previously signed a settlement agreement with Lukoil, under which the contract would be temporarily transferred to Basra Oil Company and all outstanding financial dues between the settled parties. The settlement will take effect upon approval by the Council of Ministers.

Additionally, an additional framework agreement was signed between Basra Oil Company, Lukoil, and Chevron, allowing the temporary transfer of the contract to Basra Oil Company, which will subsequently assign it to Chevron after completing negotiations and finalizing the terms of a new contract. The agreement grants Chevron exclusive negotiation rights for one year, in accordance with mutually agreed standards.