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Iraqi Cabinet approves Exxon Mobil-Shell oil deal

10 days ago
(AP:BAGHDAD) Iraq's prime minister says his Cabinet has approved a deal with a consortium led by U.S.-based Exxon Mobil to develop a prized oil field in the country's south.

The Exxon Mobil-Royal Dutch Shell group will develop the 8.6 billion West Qurna 1 field and received $1.90 per barrel produced. It plans to boost production from 280,000 barrels per day to 2.325 million barrels within seven years.

The Oil Ministry is expected to finalize the 20-year service deal soon.

Prime Minister Nouri al-Maliki also said Tuesday that his government is still discussing a second deal with a consortium led by Italy's Eni to develop the 4.1 billion barrel Zubair field.


Copyright 2009 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.


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