TotalEnergies confirms megaproject contract with Iraq

Baghdad (IraqiNews.com) – TotalEnergies and the Iraqi Government validated all of the provisions of the Development and Production Contract agreed in 2021, as well as mutually outlining the criteria and shared insurances for the Gas Growth Integrated Project (GGIP) to move forward.

The Basrah Oil Company (BOC) will have a 30% ownership in the GGIP, as agreed upon by the Iraqi government and TotalEnergies. In addition, TotalEnergies has extended an invitation to QatarEnergy to purchase a 25% interest in the GGIP in accordance with the Iraqi Government.

Thus, the strategic partnership will be made up of TotalEnergies (45%), BOC (30%), and QatarEnergy (25%).

According to a statement sent to Iraqi News, TotalEnergies applauds the State of Iraq’s continued participation in this Development & Production Contract, which is a powerful and encouraging indication for outside investment in the nation.

The GGIP agreement aims to strengthen the development of Iraq’s natural resources in order to increase the supply of power in the nation. These agreements state that TotalEnergies and its partners will contribute about $10 billion.

Among the investments are the recovery of flared gas from three oil fields for use in power generation facilities and the construction of a seawater treatment facility.

Moreover, TotalEnergies will construct a 1 GW solar power facility to deliver electricity to the regional grid in Basra, southern Iraq. TotalEnergies will invite Saudi Arabia’s ACWA Power to participate in the solar power project in accordance with the Iraqi government.