Iraq signs $ 1.07bn deal with Chinese company
BAGHDAD: Iraq and a Chinese company signed a 1.07-billion-U.S. dollar agreement to process associated gas extracted from Iraq’s southern giant Halfaya oilfield.
In the signing ceremony at the Iraqi Oil Ministry in Baghdad, PetroChina, which is the listed arm of state-owned China National Petroleum Corporation, signed a contract for gas processing plant (GPP) project with China Petroleum Engineering and Construction Corporation (CPECC).
The contract aims to process associated gas with capacity of around 300 million cubic feet of standard gas per day from Halfaya oilfield.
Also in the ceremony, Maysan Oil Company, the owner of Halfaya oilfield, signed a memorandum of understanding with PetroChina, which is the main operator of Halfaya oilfield, to ensure the implementation of the required specifications included in the contract with CPECC.
GPP project will contribute to reducing gas flare pollution to environment, and will also contribute significantly to resolving power shortage problem by providing dry gas to power stations in Maysan province.