Iraq plans to increase production at its giant Majnoon oilfield to 450,000 barrels per day (bpd) in three years, from 240,000 bpd now, Reuters cited an Iraqi oil executive said on Thursday.
OPEC and its partners have agreed to maintain output cuts to the end of 2018 to drain the oil glut. Saudi Arabia, OPEC’s largest producer, is exceeding its obligations to the group, while others such as Venezuela have seen supply constrained by internal strife. That’s masked quota-busting output in Iraq, OPEC’s No. 2 producer.
As crude prices have rallied, Iraq has ramped up sales from the south, more than offsetting lost production in the north where a territorial dispute with its Kurdish region has crippled exports. At the giant northern Kirkuk field, where clashes have disrupted output, Iraq has revived a deal with BP Plc to study boosting production, Oil Minister Jabbar Al-Luaibi said in London this week.