TotalEnergies, Iraq agree to develop $27B energy projects

- Project aims to boost country's electricity supply using flared gas from three oilfields in Iraq

Iraq and French energy company TotalEnergies signed a $27 billion agreement to develop four oil, gas, and renewable energy projects, the Iraqi oil ministry announced on Monday.

TotalEnergies Chairman and CEO Patrick Pouyanne described the deal as 'historic'.

Initially signed in 2021 with a $10 billion investment for over 25 years in southern Iraq, the deal was delayed amid disputes between Iraqi lawmakers.

Iraq will hold a 30% share in the project, while TotalEnergies will have a 45% interest and Qatar Energy a 25% stake.

The Gas Growth Integrated Project (GGIP) is intended to boost the country's electricity supply by using flared gas from three oilfields to supply power units.

Saudi firm ACWA Power was invited to join the project to partner with TotalEnergies with the aim of building a 1 gigawatt solar power plant to deliver energy to the Basrah regional grid.

By Sibel Morrow

Anadolu Agency

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