Lukoil has announced that it is in talks with Shell and Total to build a petrochemical complex in Iraq
Lukoil president Vagit Alekperov said that the company management has decided to aid costs by using funds from the oil produced at their oilfields at their West Qurna-2 field, the largest in Iraq.
Alekperov added, “Yes, we are in talks on making adjustments to our service contract and to bring the gas component outside, on the basis of the gas more unique factor West Qurna-2.
“Seventeen per cent of this gas is unique and it would be a crime to burn it. To create a petrochemical complex, the negotiations are under way with Shell and Total. The Iraqi side supports our efforts.”
West Qurna-2, located north of Rumaila field, was discovered in 1973 and is over 300 sq km.
The project development stakeholders are South Oil Company of Iraq’s Ministry of Oil and a consortium of contractors comprising LUKOIL (75 per cent) and state-owned North Oil Company (25 per cent).
