Baghdad Dialogue Conference
Oil minister highlights ambitious plans for oil, gas production
BAGHDAD — During the Baghdad Dialogue Conference on Saturday, Oil Minister Hayan Abdul Ghani discussed the departure of companies from Iraq, including Exxon Mobil, citing purely economic motives and opportunities in Africa despite Iraq’s disapproval of their withdrawal.
Minister Abdul Ghani outlined Iraq’s ambitious plan to increase oil production while adhering to OPEC’s production quotas. Iraq, a principal member of OPEC, has adjusted its production from 4.6 million barrels per day to 4 million barrels per day in compliance with voluntary cuts, aiming to stabilize prices and balance supply and demand.
Highlighting the management of most oil fields by international companies, Abdul Ghani revealed plans to boost production in Basra’s Rumaila field, Iraq’s largest, from the current 1.3 million barrels per day to 1.8 million. Development plans for the Zubair and West Qurna fields were also mentioned, ensuring alignment with global crude oil requirements without ‘oversaturating’ the market.
Abdul Ghani mentioned OPEC’s plan to increase crude oil production by 16% in the coming years, aiming to meet market demand.
Addressing clean energy initiatives, the Minister detailed Iraq’s plans to utilize clean energy, particularly in gas utilization, and halt gas flaring. Contracts have been signed to exploit gas, aiming to transition Iraq from a gas-importing country to a producer and potentially an exporter. Exploration areas in Nineveh, Anbar, Diwaniyah, and Muthanna are targeted for their substantial gas reserves.
Regarding oil refineries, Abdul Ghani says Karbala’s refinery products are ‘environmentally friendly’, with new refining units opened in Basra and the inauguration of the Baiji refinery. The ministry has offered investment opportunities in several provinces, attracting companies interested in refinery investments.
The Minister emphasized Iraq’s strategy to shift from an oil products importer to an exporter, particularly diesel and kerosene, reducing gasoline imports significantly with plans to cease these imports by the second half of this year.
Abdul Ghani says foreign companies continue to operate freely in Iraq, expanding in both oil and gas sectors. The departure of companies like Exxon Mobil was based on their own economic decisions, with other foreign, especially European, companies expressing interest in investing in Iraq’s gas fields.
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