Oil Majors Boost Plans to Expand Iraq Oil Output

[sabra]

Source: WSJ

BAGHDAD—Despite another violent day here Sunday, foreign oil companies unveiled several deals recommitting themselves to a major petroleum-development push that the government hopes will kick-start Iraq's vast but dilapidated oil industry.

Iraq's oil ministry has been hosting a two-day symposium for executives of companies that last year won contracts to help develop some of Iraq's biggest oil fields. While some companies have already begun working on their blocs, Iraqi oil officials and Western executives have acknowledged immense logistical challenges in the push.

Two oil-licensing auctions last year awarded 11 deals to international oil companies. If all the companies live up to their production promises, the projects will add nearly 10 million barrels a day of capacity by 2017 to Iraq's existing output of 2.5 million barrels a day.

Getting to that level, however, will require immense investment by the companies and tricky coordination between the rival firms and the government. One big question is how the players will coordinate to fund and build a massive, shared water-injection system needed to boost field performance in the south of the country. By injecting water or other fluids into older fields, engineers can boost production.

Read more: http://online.wsj.com/article/SB10001424052748704875004575374983987411158.html?mod=googlenews_wsj

[marmar]

1. Freedom (of the Oil from the Ground) is on the March !!!

nt

[Hestia]

2. If you read the chapter in The Shock Doctrine, Saudi's are not going to allow this to happen - they

will oil supremacy if this happens. See the blood ratchet up if these plans go into action.