Home Oil and Gas Iraq signs deal with US company for gas processing plant

Iraq signs deal with US company for gas processing plant

Project to start Artawi oilfield to utilize 300 million cubic feet per day of natural gas

OPEC member Iraq will this week sign an agreement with the US firm Honeywell UOP for the construction of a gas technology plant with a capacity of 300 million cubic feet per day, the official Iraq Alsabah newspaper said.

The contract required Phase 1 of a project to develop the Southern Artawi oilfield and is part of Iraq’s plans to maximize gas output and halt flaring at oilfields, the paper said, quoting Hiyan Abdul Zahra, director-general of the state-owned South Gas Company in the Southern oil hub of Basra.

Zahra said the final deal with the US firm would be signed after the completion of a study for assessment of the project costs.

Phase 2, which would be revealed after the signing of that agreement, would double output to nearly 600 mcf/d, he added.

In a report last week, Iraq’s Oil Ministry said it would sign a deal with Honeywell UOP on Wednesday to process natural gas from Artawi oilfield.


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