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Iraq issues 6 licenses of oil, gas exploration to foreign companies

Source: Xinhua| 2018-04-27 02:23:47|Editor: Yurou
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BAGHDAD, April 26 (Xinhua) -- Iraq has issued six licenses to foreign firms to explore and drill for oil and gas, Iraqi Oil Ministry said Thursday.

"Competition in bidding round has ended by awarding six licenses to foreign companies," the ministry said in a statement.

United Arab Emirates' (UAE) Crescent Petroleum has been granted three licenses to develop the two blocks of Kilabat-Gumar and Khashim al-Hmer-Injana in Iraq's eastern province of Diyala, and Khudhr al-Maa' in the southern province of Basra, said the ministry.

China's Geo-Jade company won the rights to explore the blocks of Naft Khana in Diyala province and Huwieza in Iraq's southeastern province of Maysan.

United Energy Group (UEG), another Chinese company, won the license to develop the al-Sindibad block in Basra, the ministry said.

Thursday's auction of 11 undeveloped blocks for exploration and development is the fifth for Iraq since the country opened its oil and gas sector for foreign investments in 2009.

Also on Thursday, Iraq's state-owned Basra Oil Company signed two contracts with China's Anton and U.S. KBR energy companies which are worth 118 million U.S. dollars for oil production and maintenance operations in Majnoon oil field in Basra province in southern Iraq, said a separate statement by the Iraqi Oil Ministry.

Last month, Iraq invited foreign energy companies to bid for the exploration and development of 11 oil and gas blocks near the borders with Iran and Kuwait.

Iraq wants to increase its crude oil production to over 5 million barrels per day (bpd) from its current production of about 4.35 million bpd.

Iraqi economy relies on oil for it accounts for over 90 percent of its revenues. Early in 2017, it was announced that Iraq's proven oil reserves had increased to 153 billion barrels from the previously estimated 143.1 billion barrels.

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