Iraq, China Sign $848 mn Energy Development Deal in South Basra

Iraq has signed a contract with a consortium consisting of China-based Geo-Jade Petroleum Corporation and Basra Crescent to develop the Iraqi Tuba field and increase its production from 20,000 b/d to 100,000 barrels per day (b/d) , according to Reuters.

The project will also include establishing a refinery with a capacity of 200,000 barrels, a petrochemical plant and a fertiliser plant , the Iraqi Oil Minister  Hayan Abdel-Ghani, told the news agency.

Geo-Jade Petroleum announced, on Friday, that it plans to invest about $848 million in the South Basra integrated project.The company has  won a bid last year to develop the Jabal Sanam oil field and the Zurbatiya oil and gas field in Iraq.

Iraq is the second-largest producer within the OPEC+ group that includes the Organization of the Petroleum Exporting Countries and allies including Russia.