Shafaq News- Basra
The state-run Basra Oil Company said on Wednesday that US-based Chevron has entered negotiations to assume management of the West Qurna-2 oilfield in southern Iraq, following the Russian energy giant Lukoil stepping down as operator.
The Iraqi government decided yesterday to assign the Basra Oil Company to manage the oil field, contracting a consortium of Bonatti and Basra Crescent, as a measure to mitigate the impact of a force majeure declared by Lukoil.
Kazem Abdul Hassan Karim, the company’s deputy director for oilfields affairs, told Shafaq News that Chevron joined discussions to operate the field after the transitional phase, noting that the Iraqi company is prepared to take over direct management if talks do not result in an agreement.
Basra Oil Company had received an official notice from Lukoil declaring force majeure, prompting immediate precautionary measures to ensure operational continuity, he said, pointing out that the company moved to temporarily take over petroleum operations with the support of an Iraqi technical operator, aimed at maintaining production and securing salary payments for Iraqi staff contracted with Lukoil, pending formal approvals.
Karim added that the Basra Oil Company had requested renewal of the operating license, which expires on February 28, and confirmed that financial obligations between the Russian side remain under negotiation. “An outcome is expected within 24 days, and failure to settle could lead to the activation of force majeure clauses under the contract.”
The current output from the West Qurna-2 oilfield stands at about 489,000 barrels per day, including roughly 450,000 bpd from the Mishrif reservoir and 30,000 bpd from the Yamama reservoir. The Yamama reservoir, according to Karim, is undergoing preliminary development studies aimed at raising production to 150,000 bpd, with longer-term plans to increase total field output to 350,000 bpd by the end of 2029.
Lukoil announced last Thursday that it had begun selling its overseas assets, including oil projects in Iraq, to a group of US companies, citing restrictions imposed on the firm and its subsidiaries. The Russian energy giant has been under US sanctions linked to the war in Ukraine.
In late October 2025, the United States placed Lukoil and Rosneft, Russia’s two largest oil producers, on its sanctions blacklist as part of efforts to pressure Moscow to end the conflict.