Sonangol negotiates oil exploration in Iraq with US and Indonesian companies

28 July 2010

Baghdad, Iraq, 28 July – US oil company, Occidental Petroleum Corp and Indonesia’s Pertamina are negotiating a partnership with Angola’s Sonangol for exploration of the Qaiyarah and Najmah oil fields in Iraq, an official from the Angolan state company said in Baghdad Sunday.

On the sidelines of an oil conference in the Iraqui capital, José Luís, manager of assets in Iraq, told Dow Jones Newswire that, “we are going to meet in August in order to discuss a possible partnership.”

Luís said that at that meeting Sonangol would put forward a working proposal for exploration of the two oil fields, under the terms of which the company plans to extract 50,000 barrels of oil per day from the Najmah field and 30,000 barrels from the Qaiyarah field by 2013.

The two fields, which have proven reserves of 800 million barrels of oil, are located 400 kilometres to the north of Baghdad.

At the auction held in 2009, 11 licences were granted to foreign companies, which committed to adding almost 10 million barrels of oil per day to Iraq’s current production capacity of 2.5 million barrels per day by 2017. (macauhub)