BP and Iraq reach real on Kirkuk rehabilitation

Iraq

KIRKUK, February 25, 2025 – BP has reached an agreement with the government of Iraq on contractual terms to invest in the rehabilitation of giant oilfields in Kirkuk and other energy projects, the company announced on Tuesday.

The agreement, which also includes oil, gas, power and water projects, is subject to final governmental ratification. It follows an initial MoU signed between BP and the government in July.

“This agreement builds on our longstanding and strategic relationship with the government of Iraq and delivers access to a material new resource opportunity, within one of the world’s most prolific hydrocarbon provinces,” BP executive vice-president William Lin said.

“It will enable us to bring our experience of managing giant fields to realise the potential of this important asset for Iraq, working alongside and in close partnership with NOC and NGC. This opportunity is fully in line with our priority of pursuing new growth opportunities for bp as we strengthen and high-grade our portfolio across the world. We thank the Government of Iraq for the trust and privilege to deepen our cooperation in-country.”

Per July’s MoU, oil and gas investment could involve the Baba and Avanah domes and three adjacent fields: Bai Hassan, Jambur and Khabbaz, operated by Iraq’s North Oil Company. Activities could include rehabilitation of existing facilities and the construction of new facilities, together with a drilling programme at the Kirkuk fields.

The programme “has the potential to stabilise production and reverse decline, returning production from this nationally important oilfield to a growth path,” BP said in comments on the July MoU.

BP has a history in Iraq stretching back to the 1920s. Today its operations are focused on working in partnership with PetroChina and Basra Oil Company to develop Rumaila, the ‎second-largest producing field in the world, estimated to have around 17 billion barrels of ‎recoverable oil remaining.‎

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