Pakistan Petroleum Signs Iraq Gas Deal

Iraq on Sunday signed a preliminary deal with a Pakistan Petroleum to explore for natural gas in eastern Iraq, various media reports said.

During the country's 4th energy auction, the Pakistani company won exploration rights to work in a 6,000 square km block stretches in Iraq's eastern provinces of Diyala and Wasit with presumed natural gas reserves.

The company offered 5.38 U.S. dollars per barrel of oil equivalent which was accepted by the Iraqi ministry.

Iraqi government managed to sell exploration rights to only three of 12 oil and natural gas exploration blocks in a two-day energy auction. 

In addition to Pakistan Petroleum, two other contracts were offered to Kuwait Energy and Lukoil.