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FINANCIAL NEWS
Iraq to increase oil output
22 May 2011
(MENAFN) Iraq’s South Oil’s Co. (SOC) manager, Dhiya Jaffar, said that in spite of the damage in the southern oilfield infrastructure, at the end of 2011, the country would expect the production in these oilfields to increase, reaching 2.5 million barrels per day (bpd), reported Arab News.
Jaffar added that as the country lacked cash and faced a heavy deficit after years of war, economic sanctions and decline, Iraq would need to invest billions of dollars in storage tanks, export terminals and pipelines in order to raise its export capacity.
He also said that production from Basra, Rumaila, West Qurna Phase One, Zubair and Majnoon , which were developed by international companies, in addition to smaller fields developed by Iraq alone, was around 1.920 million bpd, whereas output from Rumaila, developed by British Petroleum and China’s CNPC, declined slightly earlier this year due to damage in some tanks and pipelines and production reached 1.130 million bpd.
It is worth noting that Iraq plans to increase its export facilities and pipelines in Basra. The project includes installing offshore pipelines in addition to four single-point moorings (SPM). At the end of this year, the first stage of the project will add an extra 900,000 bpd in export capacity.
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