Chinese companies secured bids for five Iraqi oil and gas fields, part of the country’s efforts to boost gas production for domestic use. An Iraqi Kurdish company also obtained two projects in a recent licensing round, including an offshore exploration block in the Arab Gulf waters. The aim is to attract investments to enhance the oil and gas sector, reduce reliance on Iranian gas imports, and increase petrochemicals production.
The absence of US oil majors in the bidding process raises questions, despite previous engagements between Iraqi officials and American oil firms. Chinese companies like Zhongman Petroleum, United Energy Group, ZhenHua, and Geo-Jade secured bids for various projects, signaling their growing influence in Iraq’s energy sector.
The Iraqi government aims to increase oil production to 6 million barrels per day by 2030. They also seek self-sufficiency in natural gas production to end imports and reduce gas flaring by 2030. Despite challenges, including unfavorable contract terms and political instability, Iraq remains a key player in the global oil market.