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In a further boost for Iraq's oil and gas development prospects, Türkiye Petrolleri Anonim Ortaklığı (TPAO) is acquiring a 15% interest in BP Energy Company of Kirkuk Limited (BP ECKL), which is redeveloping several major oil and gas fields in the promising Kirkuk region of northern Iraq

Signed during the official visit of Iraqi Prime Minister Ali Al-Zaidi to Türkiye, the move builds on the strategic cooperation Memorandum of Understanding (MoU) signed by bp and Türkiye's national oil company in February 2026, and follows ConocoPhillips' recent acquisition of a 42% interest in BP ECKL. The two acquisitions bring together partners with complementary capabilities and expertise together with bp to support the next phase of redevelopment in Kirkuk. Following completion of the transaction, bp will remain the majority shareholder in BP ECKL with 43%.

Vast potential

Kirkuk, once among the most prolific regions globally, has vast potential, with a combined resource opportunity estimated at up to 20 billion barrels of oil equivalent.

bp received final government ratification for its contract to invest in the redevelopment of several giant oil fields in Kirkuk in March 2025, when bp said the investment will bring opportunity and growth to the Kirkuk region, as well as improving supply chain capability alongside job creation. Then bp executive vice president William Lin commented that the opportunity is fully in line with the company’s priority of pursuing new growth opportunities for bp as it strengthens and high-grades its portfolio across the world.

The contract between North Oil Company (NOC), North Gas Company (NGC) and bp includes the rehabilitation and redevelopment of the fields alongside investment in existing gas processing facilities, spanning oil, gas, power and water with potential for investment in exploration.

The Development and Production Contract covers an initial phase of oil and gas production of more than 3 billion barrels of oil equivalent from the Baba and Avanah domes of the Kirkuk oil field and the adjacent Bai Hassan, Jambur and Khabbaz fields in Federal Iraq, all currently operated by the North Oil Company (NOC) and North Gas Company (NGC). The contract area also includes additional exploration potential.

bp is drawing on its experience elsewhere in Iraq in developing Kirkuk, notably at the supergiant Rumaila field in southern Iraq, where with its partners it has helped to deliver a 40% increase in production since 2010. bp says it aims to grow a similar, modern upstream oil and gas industry centred around Kirkuk, bringing in technologies that transformed operations at Rumaila, such as real-time monitoring and digital surveillance. These can help to optimise well performance, predict and avert production issues, and facilitate data-driven decision making.

Chief executive officer Meg O’Neill said, “TPAO has been a trusted partner for more than 30 years through our work together across the Caspian region. This agreement builds on that long-standing relationship and, alongside our partnership with ConocoPhillips, positions us strongly for the next phase of redevelopment in Kirkuk. Kirkuk is a world-class resource base that can support Iraq's long-term energy ambitions, and we look forward to working closely with the Government of Iraq and our partners to deliver the next phase of redevelopment."

bp has a longstanding relationship with Iraq spanning more than a century with an involvement in both the north and south of the country. bp’s predecessor helped ‎Iraq to locate, produce and export oil from Baba Gurgur in Kirkuk, one of the largest oilfields ‎in the world at that time.

The project will boost gas output from the Bahr Essalam gas field. (Image source: Adobe Stock)

Eni, in partnership with the Libyan National Oil Corporation (NOC) through the Mellitah Oil & Gas joint venture, has started hydrocarbon production enabled by the Sabratha Compression Project, a strategic offshore development designed to boost gas output from the Bahr Essalam gas field, located around 100 km off the coast

The Sabratha Compression Project consists of the installation of a new 1,600-ton compression module on the Sabratha platform, equipped with new compression trains, providing an overall compression capacity of about 440 MMscfd.

The new module enables production under low-pressure conditions, offsetting the natural decline of the Bahr Essalam field and maximizing gas recovery, ensuring increased volumes of gas of about 800 million cubic metres per year and associated condensate. This additional production will play a critical role in sustaining national power generation, thus contributing to Libya’s energy security, and supporting export to Italy via the Greenstream pipeline.

Exploration activities yielded positive results in March 2026 with the Bahr Essalam South 2 (BESS 2) and Bahr Essalam South 3 (BESS 3) offshore discoveries. Preliminary estimates indicate that these discoveries jointly contain more than 1 Tcf of gas in place. Their proximity to the existing production facilities of the Bahr Essalam field will ensure a fast-track development.

Two additional strategic projects are presently in execution in the country: Bouri Gas Utilization Project, whose tie-in and commissioning activities are currently underway after the recent installation of the Bouri Gas Recovery Module, and Structures A&E, involving the development of two offshore gas fields. 

Eni has been present in Libya since 1959 and is the country’s leading international operator, with an equity production of approximately 162,000 barrels of oil equivalent per day in 2025 and three development projects currently in execution for a total investment of about US$10bn.

Libya’s efforts to boost oil and gas production following years of civil war have met with considerable success. Sirte Oil Company for Production and Manufacturing of Oil and Gas has recently successfully returned well J-03 in the Metkhendoush field to production. This follows the completion of the installation and commissioning of an electric submersible pump (ESP) artificial lift system, as part of the company’s efforts to maintain production rates and increase the production capacity of its oil fields, through well development and rehabilitation programmes, as well as improved operational efficiency.
The NOC’s crude oil production has now reached around 1.3-1.4mn bpd, the highest level since 2013, and well on the way to its goal of producing 1.6mn bpd by the end of 2026, rising to 2mn bpd in the medium term.

The new concession will allow the development of large gas cap resources.

TotalEnergies has signed agreement to secure partnership in the ADNOC Onshore-operated Bab Gas Cap Concession in Abu Dhabi, with a 10% interest, alongside ADNOC (60%), bp (10%), CNPC (8%), JODCO/INPEX (5%), ZhenHua (4%) and GS Energy (3%)

The new concession will enable the partners to develop the large gas cap resources of the Bab onshore field, with a target production rate of 1.5 billion cubic feet per day. It builds on the 2015 renewal for 40 years of the Onshore oil concession (formerly ADCO).

Since then, TotalEnergies, alongside ADNOC and its partners, has worked to advance the development of the Bab Gas Cap, which represents a significant growth opportunity. The project also aligns with Abu Dhabi’s strategy to expand both its liquids production from condensates and its gas output while reinforcing its LNG value chain, notably the Ruwais LNG project, in which TotalEnergies also holds 10% interest.

“I would like to thank the Supreme Council for Financial and Economic Affairs of Abu Dhabi for its continued trust. In the current context, this entry in a new concession underlines TotalEnergies’ commitment to stand alongside ADNOC, our historic partner in Abu Dhabi, and to keep contributing to the development of the United Arab Emirates’ significant hydrocarbon resources. The Bab Gas Cap project is well in line with TotalEnergies’ Upstream strategy by adding low-cost, low-emissions resources with significant potential for production growth,” said Patrick Pouyanné, chairman and CEO of TotalEnergies.

SAS is active in shallow-water offshore drilling operations.

Saipem has signed a legally binding sale and purchase agreement with ADES Saudi Limited Company, an indirect subsidiary of ADES Holding Company (ADES) for the sale of its entire shareholding (owned through its subsidiary Saipem International B.V.) in Saudi Arabian Saipem Limited (SAS)

SAS is active in shallow-water offshore drilling operations, with a fleet comprising three owned jack-up rigs (Perro Negro 7, Perro Negro 8, Perro Negro 10) and two leased jack-up rigs (Perro Negro 11 and Perro Negro 13).

In 2025, SAS recorded revenues of Saudi Arabian riyals 636 million, equivalent to US$170mn.

The value of the transaction amounts to US$285mn on a debt-free/cash-free basis and will be paid in cash at closing, subject to customary adjustment mechanisms.

The proceeds from the transaction will be used in line with the objectives of Saipem’s industrial plan.

Upon completion of the transaction, the parties will enter into a bareboat charter agreement that will allow Saipem to continue its ongoing operations in Mexico with the Perro Negro 10 rig and to ensure full compliance with its existing commitments.

The transaction represents a further step in the implementation of Saipem’s strategy aimed at focusing its portfolio on deepwater and harsh-environment offshore drilling, strengthening the Group’s positioning in higher-complexity, higher-value-added segments.

For ADES, the transaction reinforces its position as a national drilling champion in its home market in Saudi Arabia while further strengthening the Group’s global offshore jackup platform.

The acquired rigs are highly complementary to ADES’ existing jackup fleet, enabling efficient integration with limited ramp-up risk, supported by the Group’s established presence in Saudi Arabia and operational track record. The addition of three owned premium jackup rigs and two leased premium jackup rigs further enhances ADES’ scale, fleet quality and long-term revenue visibility.

Completion of the transaction, indicatively expected by the third quarter of 2026, is subject to the satisfaction of customary conditions precedent, including the obtainment of applicable regulatory approvals.