UPDATE: Iraq approves compromise on TotalEnergies mega-deal

Iraq's Cabinet has approved a reduced 30 percent stake for the state in an effort to unlock a $27 billion deal that could be critical for boosting oil, gas, and electricity supplies.
Leadership from French oil firm Total and Iraq's Oil and Electricity Ministries sign a Heads of Agreement on March 29, 2021. (Source: Oil Ministry media office)

UPDATE: This story has been updated to include more details on the Cabinet’s decision and background information about Iraq’s negotiations with TotalEnergies.

The Iraqi Cabinet cleared a major hurdle toward implementing a $27 billion energy deal with TotalEnergies, deciding on Tuesday to approve a 30 percent state participation in the project, according to a Cabinet statement.

If it moves forward, the project could be foundational to Iraq's plans for increasing production of oil, gas, and electricity — providing infrastructure to supply water needed to boost output at the largest oil fields in Basra; a processing plant needed to capture valuable associated gas that is otherwise being wastefully flared from several oil fields; and a solar power plant.

This content is for registered users. Please login to continue.
If you are not a registered user, you may purchase a subscription.