abarrelfull wrote on 04 Jun 2012 07:04
Tags: iraq m-east upstream
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The Iraqi ministry of oil completed its preparations to receive & open the offers of the qualified international companies to compete on the service contracts for the 4th licensing round of exploratory areas in public and transparency to develop the 12 exploratory areas as 6 areas a day distributed around the country.
The spokesman of the oil ministry shown that the round will contain exploratory areas, not oil & gas fields, Ensuring that the 4th round is a consequence of the 3 successful previous rounds that effected positively on raising the Iraqi reserves in addition to elevate the production level. At the same time he said that, most of the winning companies was from japan (9 companies), Russia (5 companies), china (4 companies), United Kingdom (3 companies) and 2 companies of each U.S.A, Italy, Netherlands, South Korea & United Arab Emirates, and one company for each of, India, Indonesia, Pakistan Malaysia, Vietnam, Thailand, Norway, Romania, Angola, France, Turkey, Egypt, Syria, Switzerland, Ukraine, Kuwait & United Arab Emirates. At the same time, he added that the new round will add more quantities to the accurate current reserves. As well as he shown that the ministry will enter into the service contracts with the companies that will win this round just like the last 3 licensing rounds. And added that the advantage of this round is that the fields are un rehabilitated exploratory areas, so the companies operations will involve the rehabilitation, development & upstream, which will make the work bigger than what was in the last 3 licensing rounds.
As well as he shown that the exploratory areas are:
- The first exploratory area in Naynawa governorate, estimated with 7300 square kilometers with carbonic prospects (gas).
- The second exploratory area in Naynawa & Anbar governorates, estimated with 8000 square kilometers with carbonic prospects (gas).
- The third exploratory area in Anbar governorate, estimated with 7000 square kilometers with carbonic prospects (gas).
- The 4th exploratory area in the border of Anbar governorate, estimated with 7000 square kilometers with carbonic prospects (gas).
- The 5th exploratory area in Anbar governorate, estimated with 8000 square kilometers with carbonic prospects (gas).
- The 6th exploratory area in Najaf & Anbar governorates, estimated with 9000 square kilometers with carbonic prospects (gas).
- The 7th exploratory area occupy the areas from Qadiassya, Babel, Najaf and Muthanna governorates, estimated with 6000 square kilometers with carbonic prospects (oil).
- The 8th exploratory area in Diyala & Wasit governorates, estimated with 6000 square kilometers with carbonic prospects (gas).
- The 9th exploratory area in Basra governorate, estimated with 9000 square kilometers with carbonic prospects (oil).
- The 10th exploratory area in Muthanna & Thiqar governorates, estimated with 5500 square kilometers with carbonic prospects (oil).
- The 11th exploratory area on the border of Najaf & Muthanna governorates, estimated with 8000 square kilometers with carbonic prospects (oil).
- The 12th exploratory area in Najaf & Muthanna governorates, estimated with 8000 square kilometers with carbonic prospects (oil).
As well as he said that the international companies that will participate in the 4th round were qualified according to the technical depended criteria of oil & gas industry.
The oil ministry declared for the producing developed fields in the 1st licensing round in the 30th of June 2009 which involved 6 oil fields that are: North & South Rumaila, West Qurna (first phase), Zubair, Karkuk, Bihassan, Maysan, in addition to the gas fields of Mansouria & Akkash. As well as, the oil ministry gave those fields in the technical service contracts for 20 years. These fields contain 39% of the Iraqi reserves (45 billion barrels) and they produce 2,250 million BPD which is about 90% of the total production that ensures 90% of the total incomes.
The first licensing round resulted 3 fields which are South & North Rumaila, West Qurna (phase 1) and Zubair which are in the custody of the South Oil Company, to a group of foreign oil companies. And for the fields of Karkuk, Bihassan, Maysan and the 2 gas fields of Akkash & Mansouria, they did not get any development contract and remained under the responsibility of North Oil Company & Maysan Oil Company since then.
The second licensing round was in the 11th of December 2009 which involved 10 fields of West Qurna, (phase 2), Majnoon, Halfaya, Al-Gharraf, Badra, Najma, Al-Qayara, East Baghdad fields-Diyala and 4 giant fields of Middle Euphrates which are explored and un rehabilitated. And the accurate reserves of these fields are 36% of the Iraqi reserves (41, 5 billion barrels) which means that 75% of the Iraqi reserves was in the first & second licensing rounds, so the international companies took the contracts of developing 7 fields which are West Qurna (phase 1), Majnoon, Halfaya, Al-Gharraf, Badra, Najma & Al-Qayara, accept for Baghdad, Diyala & Middle Euphrates which did not win any development contract.
The third licensing round was in the 20th of October 2012 which involved 3 fields that are Akkaz, Siba & Mansouria. And These 3 fields contain a reserve of 11 trillion cubic feet of gas which is about 10% of the Iraqi accurate reserve & 45% of the registered reserve.
Akkaz is in the north west of Anbar governorate nearby the Syrian border (50 kilometers long and 18 kilometers wide) discovered in 1992 with estimated reserve of 5, 6 billion cubic feet contains 6 wells drilled in Al-Khabour reservoir and produces 50 cubic meters per day. As well as, this field is the largest of the 3 fields which was competed by (Total French & T.P.O Turkish coalition) and (Kogas Korean & Monai Kazakhstani coalition whom wan the contract to be shared between them) to reach the production peak of 400 million cubic meters per day for 13 years in exchange of 5,5 dollars for the single barrel.
Mansouria is the second important field in Diyala near the Iranian border, This field has the dimensions of 29 kilometers long & 5 kilometers wide which was discovered in 1978, contains 4 wells with a reserve of 4, 5 trillion square meters and its investment contract was taken by the coalition of (T.P.A.O with 50% share & Kuwait energy 30% share & Kogas 20% share) whom offered 10 dollars for the single barrel Compared to the demand of the oil ministry which was 7, 5 dollars with 330 million cubic meters during 13 years.
Siba occupies the southern area of Basra governorate with the dimensions of, 25 kilometers long & 6 kilometers wide with a reserve of 1, 5 trillion cubic meters, found in 1968 by Total French and deserted with no rehabilitation since then. In addition to that, this field is a small field with 3 wells with a production power of 60 million cubic meters.
The ministry of oil identified a time table of 9 years, and the field was competed by (the coalition of Kuwait Energy & T.P.O Turkish whom offered 7, 5 dollars with a production power of 100 million cubic meters) and (Gas Monigas Kazakhstani whom offered 16 dollars for the single barrel with a production power of 65 million cubic meters), and it is worthy to mention that the Turkish & Kuwaiti coalition won the contract with a share of 60% for the Kuwaiti company & 40% for the Turkish company.
It is worthy to mention that this licensing round will add 830 million cubic feet per day within 13 years on the Iraqi production which is about 900 cubic feet so the Iraqi production will be elevated to 1730 million feet after 13 years.