Lukoil is to boost investment at Iraq’s West Qurna 2 oilfield tenfold, following the Oil Ministry’s confirmation that Statoil may sell its minority stake in the project to the Russian private sector oil giant.
According to a company newsletter from 6 March, Lukoil has spent $200 million at West Qurna 2 to date, which has been enough to prepare the ground for Baker Hughes to commence its 23-well drilling program. The US oilfield services firm is currently contracting all third-party services, equipment, personnel, tools and materials required for the project, including the provision of up to five drilling rigs and three workover rigs.
Norwegian oil firm Statoil is selling its 18.75% stake in West Qurna 2 to Lukoil on undisclosed terms. The transaction will leave Lukoil as the sole private sector partner with Iraq’s South Oil Company in the field development of the West Qurna 2 field, with a contractual interest of 75%.
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