BP-Iraq deal to boost oil flow from Kirkuk
Show of Iraqi control over recently retaken territory
BP signed an MOU with the Iraqi government on Thursday to expand oil production in Iraqi Kurdistan, further cementing Baghdad’s control over the disputed territory.
The agreement was signed in Kirkuk, the Financial Times reports, the sight of a huge oilfield that has long been seen by Kurdish leaders as key to their plans for creating an independent state.
From FT report:
- Deal seeks to lift output to 750,000 barrels a day from around 150,000: Iraqi oil ministry/T&S consulting
- Agreement has been in the making since Iraqi forces retook Kirkuk in October
- Relations between BP and Russia’s Rosneft are critical for Kirkuk’s future; Rosneft has invested heavily in the region over the past year, committing to expanding KRG’s oil pipline capacity to 1m b/d
- Rosneft has also committed to developing other oil fields in Iraqi Kurdistan