Shafaq News/ Iraq and Total expect to finalize a contract soon to implement energy megaprojects to ramp up gas production and end flaring, according to the Ministry of Oil.
"The administration of the Basra and the south oil companies and the relevant departments in the Ministry are putting the final touches to the proposed project scheduled to be signed in the upcoming period," a statement of the Ministry of Oil said.
The Minister of Oil, Ihsan Abdul-Jabbar, said, "these projects are a priority in the Ministry's plans for an optimal investment of flared gas and upholding the infrastructure."
The US is pressuring Iraq to produce more gas to reduce its dependence on Iran for gas and electricity imports. Iraq has received waivers to continue to import Iranian energy since the US imposed sanctions on Tehran in 2018, but these waivers are temporary.
Iraq’s problem is that most of the gas it produces is associated gas from produced oil, and that associated gas is currently being flared. Iraq is second only to Russia in gas flaring, having burned nearly 18 Bcm (632 Bcf) in 2019, according to a World Bank study published in July 2020.
Iraq plans to capture an additional 1.2 Bcf/D of flared gas by the end of 2023, the deputy oil minister said in October, as the country attempts to meet rising demand for gas to produce electricity and lower its carbon emissions, S&P Global reported.
This is where the partnership with Total, and perhaps other majors as well, comes into play.