Iraq to hold fourth energy bidding round in November

Iraq's Oil Minister Abdulkareem Luaibi has said the country's fourth energy bidding round would be held in November. The minister added that there would be 12 explorations blocs on offer to international oil companies.

Luaibi said that 70 per cent of the offered blocs would contain natural gas and the rest a combination of both oil and gas. Speaking to the press in Baghdad, he said: "We think that these 12 blocks contain at least 29 trillion cubic feet of [non-associated] gas.”

So far, Iraq has held three international bidding rounds since 2009 in an attempt to attract foreign investment and boost the country's economy.

Luaibi also noted that "global oil prices are moving toward $120 a barrel. We consider this an acceptable price that will not harm global growth".

Iraq expects its oil output to reach over 6 million b/d by 2014, forecasting an output of 2.75 million b/d for this year; a rise to 3.3 million b/d in 2012; 4.5 million b/d in 2013; and 6.5 million b/d in 2014.

Sources: AP, CB Online, Kipp Report, Reuters, Dow Jones Newswire

For more news and expert analysis about Iraq, please see Iraq Focus.

Iraq's crude exports on the rise

The Head of the State Oil Marketing Organisation (SOMO) Falah Al-Amri has said that Iraq's crude oil exports rose to 1.912 million b/d in November compared with 1.900 million b/d in the previous month.

Al-Amari estimated that the country's crude oil production will increase further this month due to the rapid development of the oil fields in southern Iraq. He said that the Rumaila oil field, being developed by a consortium led by BP, has already began producing 1.100 million b/d from the previous production rate of 1.066 million b/d.

Over the last year, Iraq has signed several deals with international oil companies in a bid to boost crude oil production rates to 12 million b/d by 2017, from the current production rate of 2.35 million b/d.

Source: Dow Jones

For more news and expert analysis about Iraq, please see Iraq Focus.