18/09/2013 08:45:00

BP Gets $4.5 Billion Payment for Iraq Field Investment

Related content
Related debate
29 Jul - 
Nej.......Jeg bliver alså lige nød til og korrigerer mi..
28 Jul - 
Tonny9 - God pointe med pundet. Har lige set at UK er k..
28 Jul - 
Vi er ikke uenige. Jeg ved godt at der har været flere ..

Oil Major BP PLC (BP) received a total of $4.5 billion until the end of 2012 for its investments in Iraq's supergiant Rumaila oil field in southern Iraq, a senior Iraqi oil official has said.

BP and partner China National Petroleum Corp., or CNPC, are developing the 17-billion-barrel Rumaila. The field, Iraq's largest, is currently pumping around 1.4 million barrels a day and it is expected to hit 2.1 million barrels a day in 2017.

Abdul Mehdy al-Ameedi, head of the Oil Ministry's petroleum contracts, made no mention of how much was paid to CNPC that won the deal along with BP to develop the field near Basra in 2009.

Baghdad has paid a total of $8.5 billion until the end of 2012 to companies working in Iraq, Mr. Ameedi told the Wall Street Journal on the sidelines of an Iraqi oil meeting in Amman late Tuesday night. Among the paid firms should be U.S. energy giant Exxon Mobil Corp. (XOM) and Italy's largest oil producer, Eni SpA (E), which are developing West Qurna-1 and Zubair oil fields in southern Iraq respectively.

He gave no details of how much precisely each company was paid except for BP.

BP, Exxon Mobil and Eni and their partners have invested billions of dollars to upgrade these three supergiant fields.

"Total costs spent by these firms as well as accumulated remunerations from producing oil from these fields have reached between $16 billion and $17 billion," Mr. Ameedi said.

The three fields are among a number of oil fields Iraq auctioned off to international oil companies in 2009 under service contracts, which stipulate that the firms start to be paid to recover costs once they boost production by 10% above an agreed baseline production.

Write to Hassan Hafidh at hassan.hafidh@WSJ.com

Subscribe to WSJ: http://online.wsj.com?mod=djnwires

(END) Dow Jones Newswires

September 18, 2013 03:45 ET (07:45 GMT)

Copyright (c) 2013 Dow Jones & Company, Inc.

Post comment

Related debate

  • 1 week
  • 1 month
  • 1 Year
28 Jul
Vi er ikke uenige.Jeg ved godt at der har været flere rygter om køb af BP. Jeg tror ikke rigtigt på ..
28 Jul
Jeg syntes også at det skinner igemmen på diverse regnskaber, at BP forbereder sig til en lav oliepr..
28 Jul
Så er det regnskabssæson for olieselskaberne igen og BP har åbnet ballet. Jeg skal love for at det b..

Regulatory news

Form 8.3 - AXA INVESTMENT MANAGERS S.A.: Royal Dutch Shell Plc

03/08/2015 14:58:51

Alliance Trust PLC : Net Asset Value(s)

03/08/2015 13:39:38
ALLIANCE TRUST PLC At the close of business on Friday 31 July 2015, the unaudited net asset value per ordinary share of 2.5p, valued on a bid price bas..

Total voting rights

03/08/2015 10:13:33
3 August 2015 Pace plc - Voting Rights and Capital Pace plc hereby notifies the Market of the following: Pace plc's capital consists of 320,135,968 ordinar..

Most read news

  • 24 hours
  • 48 hours
  • 1 week
Novartis completes divestiture of influenza vaccines business to CSL Limited for USD 275 million
Atlantic Petroleum Announces Review of Strategic Alternatives
Nokia completes next stage of transformation with agreement to sell HERE to automotive industry consortium at an enterprise value of EUR 2.8 billion
Polarcus awarded broadband 3D project
Affecto Plc's Interim Report 1-6/2015

Related stock quotes

BP PLC $0.25 390.90 -1.2% Stock price decreasing
Exxon Mobil Corp 78.44 -1.0% Stock price decreasing
BP p.l.c. 36.73 -0.7% Stock price decreasing
ENI S.p.A. 34.92 -0.2% Stock price decreasing
ENI . 15.93 0.0% Stock price unchanged
ENI 15.60 0.0% Stock price unchanged

Buy and sell signals

  • Trend
  • Moneymachine

Copyright Euroinvestor A/S 2015   Disclaimer and Terms of Use
Quote information is delivered by Interactive Data.
Data is delayed 15-20 minutes according to the distribution agreements set by the different exchanges.
03 August 2015 16:05:13
(UTC) Dublin, Edinburgh, Lisbon, London
Version: LiveBranchBuild_20150803.2 - EUROWEB6 - 2015-08-03 17:05:13 - 2015-08-03 16:05:13 - 1000 - Website: OKAY