Iraq Partners with China to Develop Baghdad Oil Field

Deputy Prime Minister for Energy Affairs and Minister of Oil, Hayan Abdul-Ghani Al-Sawad, has reaffirmed Iraq’s commitment to boosting national oil production in line with the Ministry of Oil’s strategic plans and the government’s development programme. His remarks came during the signing ceremony of an annex to the development contract for the East Baghdad South oil field with Chinese company EB-S.

The contract expansion is set to raise production from the East Baghdad field by up to 100,000 barrels per day, building on its current output of 45,000 to 50,000 barrels per day. This increase will be achieved through the use of advanced drilling techniques, including six new horizontal wells.

The agreement also includes the construction of four storage tanks: two with a capacity of 10,000 m³ and two with 3,000 m³; aimed at supporting production and operational efficiency. Additionally, the Chinese company will carry out six vital oil infrastructure projects for the Central Oil Company, boosting technical capacity and creating job opportunities for local engineers and technicians.

Undersecretary for Extraction Affairs, Bassem Mohammed Khudair, stated that the contract annex would add significant value to the field, while Central Oil Company Director General Mohammed Yassin Hassan noted the project aligns with national goals to optimise natural resource management.

Environmental and community welfare are also integral to the deal. EB-S will construct a mobile air purification station and establish a sewage treatment system for drilling waste. The project also includes community service initiatives to benefit local residents.

The signing ceremony was attended by senior officials, including the Director General of the North Oil Company, Mr. Amer Khalil Ahmed.