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FINANCIAL NEWS
CNPC to boost Iraqi field output by 10%
21 Apr 2010
(MENAFN) China National Petroleum Corp (CNPC) said that it aims to boost output at a giant Iraqi oilfield by 10 percent this year, China Petroleum Daily newspaper reported, Reuters reported.
Last November, CNPC and Britain’s BP signed a deal with Iraq to nearly triple production from the current one million barrels a day to 2.85 million barrels at the Rumaila field over the next six to seven years.
The consortium will fully take over work on the oilfield by June 30 and plans to increase its output by 10 percent by the end of this year, the Chinese company said.
The companies are projected to invest between $14 billion and $20 billion between them and have agreed to accept payment of two dollars per additional barrel produced at Rumaila.
The two companies won the right to develop the 12.6 billion barrel Majnoon oilfield, one of the world’s biggest, in the second auction held by Iraq last year of oilfield development contracts, and the contract was signed early this year.
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