Oil Ministry finalizes oil contract with CNPC-led group

BAGHDAD / IraqiNews.com: The Iraqi Ministry of Oil has signed a final contract with China National Petroleum Company (CNPC), Total ( TOTF.PA ) of France and Malaysian state firm Petronas to develop Missan’s Halfaya oilfield. The contract was concluded during a ceremony attended by Oil Minister Hussein al-Shahrestani, Missan Governor Mohammad Shayaa and general directors from the South Oil Company, the Missan Oil Company and the Contracts and Licenses Department as well as representatives of the three firms. The firms will be paid a remuneration fee of $1.4 per barrel. The current total production of Missan’s oilfields does not exceed 110,000 barrels per day (bpd), but is expected to reach 535,000 bpd when CNPC and its partners start work. Iraq hopes the contracts signed during the first two oil licensing rounds will help bring the country’s oil production to 12 million (barrels per day) bpd in six years, compared to the current production level of about 2.5 million bpd. SS (P)/SR 2