French TotalEnergies and the Iraq government signed four contracts worth $27 billion to develop oil, gas and solar projects in Iraq on Sunday.
The agreement includes three contracts between the Iraqi Ministry of Oil and the French company Total, and the fourth contract for the solar energy project between the Ministry of Electricity and Total.
One project will focus on increasing crude oil output from the Artawi oil field located in the Basra region.
Production from the Artawi oil field is projected to increase to 210,000 barrels per day from its current 85,000 barrels per day.
Another project involves the construction of an Artawi gas processing plant with a capacity of 600 million cubic feet per day to capture flared gas. The project will also produce 12,000 barrels per day of condensate, and 3,000 tons per day of Liquefied Petroleum Gas (LPG) to be used on the domestic market.
The construction of a large-scale seawater treatment unit is included to increase water injection capacities in southern Iraq fields, which are required to maintain pressure in several fields, and as such will help optimize the production of natural resources in the Basra region.
The deal also consists of the construction and operation of a photovoltaic power plant with a capacity of 1 gigawatt to supply electricity to the grid in the Basra region.
Reporting by Haydar Karaalp in Baghdad
Writing by Zeynep Beyza Kilic