After two years of absence from Iraq, ExxonMobil is making a dynamic return to the Middle Eastern country, in order to advance Baghdad’s ambitious plans in the energy sector.
Specifically, ExxonMobil recently signed a non-binding Heads of Agreement (HoA) with Iraq for the development of the colossal Majnoon oil field and the enhancement of Iraqi crude exports. Concurrently, the deal includes a profit-sharing agreement for crude oil and refined products, as well as plans for upgrading Iraq’s oil export infrastructure.
Majnoon is located in southern Iraq and is one of the largest fields globally, with approximately 38 billion barrels of oil. The exploitation of this field will contribute to achieving Baghdad’s target of 6 million barrels per day production by 2029. It is noted that, currently, Iraq’s oil production reaches 4 million barrels per day.
In fact, recently, Iraq has secured similar agreements with other top energy companies, such as Chevron, BP, and TotalEnergies, in order to accelerate domestic oil and natural gas production.
Finally, as analyst Muwafaq Abbas underlines, Iraq’s agreement with the American ExxonMobil also reflects the efforts of Iraqi officials to improve their relations with Washington.
