China’s Jereh pens preliminary deal with Iraq for Mansuriya gas field

Chinese oilfield services company Jereh announced on May 27 that it had signed a preliminary development contract with the Midland Oil Company of Iraq to jointly develop the Mansuriya gas field. The formal agreement is pending approvals from relevant authorities in Iraq and China.

The Mansuriya gas field, Iraq's second-largest, boasts an estimated reserve of 4.5 trillion ft³. Jereh stated that the development of this field is a significant project under Iraq's strategic initiative to increase investment in natural gas and achieve energy self-sufficiency.

"This agreement strengthens our commitment to natural gas development. We aim to eliminate the wasteful practice of gas flaring and maximise resource utilisation,” said Bassim Mohammed Khadir, deputy minister for extraction affairs of the Iraqi Ministry of Oil.

According to the contract terms, the Iraqi oil ministry will repurchase all produced natural gas, liquefied petroleum gas, and condensate products.

"We place great importance on this cooperation for the immense potential for energy development of Iraq. Leveraging our mature overseas oil and gas development experience and international perspective, we aim to share development opportunities with the Iraqi government to assist in advancing local economic development and living standards," stated Li Weibin, executive vice president of Jereh.