Iraq Signs Landmark Energy Deal with TotalEnergies and QatarEnergy

Reuters

The gas field of Siba in Basra , Iraq.

Iraq has signed a joint operating agreement with France’s TotalEnergies, QatarEnergy LNG and the state-run Basra Oil Company to develop the Artawi oilfield as part of the ambitious Gas Growth Integrated Project (GGIP), a multibillion-dollar initiative designed to boost the country’s electricity supply and reduce gas flaring.

The agreement, announced on Sunday, marks a significant step in Iraq’s efforts to modernise its energy infrastructure. The GGIP includes the recovery of associated gas from oilfields to generate power, the construction of a large-scale gas processing plant, and the development of renewable energy projects.

In addition, the plan involves the long-awaited Common Seawater Supply Project (CSSP), which is expected to deliver around five million barrels of seawater per day to southern Iraqi oilfields, helping to maintain pressure and sustain production.

The project will be implemented in collaboration with international partners, including engineering firms from China, South Korea, and Türkiye. ENKA, a Turkish company, is set to lead the construction of a central oil and gas processing facility, while other firms will contribute to the gas and water infrastructure.

Iraq’s Oil Minister highlighted the strategic importance of the deal, noting that it would both strengthen the country’s energy independence and diversify its partnerships. TotalEnergies CEO Patrick Pouyanné described the agreement as a “milestone for sustainable energy development in Iraq,” while QatarEnergy stressed the value of regional cooperation in achieving energy security.

The GGIP is also seen as a response to growing domestic demand for electricity and the need to reduce reliance on imported gas from neighbouring countries. By capturing and processing flared gas, Iraq hopes to cut waste, improve power generation, and contribute to environmental protection efforts.



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