Basra Oil Company (BOC)


Amarinth secures order for Pumps at Rumaila

UK-based Amarinth has secured its first order from Iraq Gates Contracting Company (IGCC) for $410K of API 610 OH1 pumps on 22-weeks FCA delivery for the Rumaila oil field, Iraq.

This first order for Amarinth from Iraq Gates Contracting Company (IGCC) of $410K is for ten API 610 OH1 condensate transfer pumps with Plan 11 and Plan 52 double seals and seal support systems.

The pumps are destined for the Rumaila oil field, a super-giant oil field located 50km to the west of the city of Basra, southern Iraq. The Rumaila field is estimated to contain 17 billion barrels, the largest oil field ever discovered in Iraq and considered the third largest oil field in the world. It is managed by the Rumaila Operating Organization (ROO), a joint venture between BOC, BP, PetroChina and SOMO.

IGCC approached Amarinth for the ten identical API 610 OH1 pumps as they were required on an extremely short lead time of 22-weeks Free Carriage Aboard (FCA) from the sea-port in the UK.

This is the sort of challenge that Amarinth has successfully delivered against many times in the past for Middle East oil and gas companies and will leave Amarinth just 20 weeks for the design, manufacture and testing of the pumps and seal support systems, including full documentation and NACE certification for all process wetted parts.

Oliver Brigginshaw, Managing Director of Amarinth, commented:

This latest order from Iraq underlines our on-going commitment and investment in the region and we are delighted that IGCC approached us to supply these pumps recognising that we were the only manufacturer that could deliver bespoke API 610 pumps in the lead time they required.

“In fact, we are seeing that many of the new projects in the Middle East need API 610 pumps on very short lead times as operators start to increase production again, which Amarinth are in a very good position to fulfil.

(Source: Amarinth)

INOC takes over 9 State Oil Companies

By John Lee.

Oil Minister Jabar Ali al-Luaibi [Allibi, Luiebi] has transferred ownership of nine state-owned oil companies from the Ministry of Oil to the newly-created Iraqi National Oil Company (INOC).

The Minister is also the President of INOC.

The companies transferred to INOC ownership are:

  • Iraqi Oil Exploration Company
  • Iraqi Drilling Company (IDC)
  • State Oil Marketing Organization (SOMO)
  • North Oil Company (NOC)
  • Midland (Middle) Oil Company
  • Basra Oil Company (BOC)
  • Dhi Qar Oil Company (DQOC)
  • Missan Oil Company (MCO)
  • Iraqi Oil Tankers Company (IOTC)

IBN Expert Blogger Ahmed Mousa Jiyad has described the new company as “dysfunctional, unconstitutional and disintegrative“.

(Source: Ministry of Oil)

Iraq Plans Big Increase in Oil Production

By John Lee.

The Basra Oil Company (BOC) reportedly plans to increase production  from 3.2 to 5 million barrels per day over the next seven years.

According to Platts, BOC directror Ihsan Ismaael told the CWC Basra conference in Istanbul that the increased production would be sustained for at least 20 years after that.

Among the projects being considered are three new subsea pipelines replacing the old pipelines leading to the Khor al-Amaya Oil Terminal (KAAOT) and the al-Basra Oil Terminal (ABOT), adding up to 3 million bpd of new export capacity.

ABOT is currently operating at just under half its capacity of 3.5 million bpd due to the risk of pipeline rupture, while the 350k-bpd KAAOT (pictured) has been offline because of oil leaks when the pipeline is pressurised high enough for loading to be economical.

New pipelines and storage pumping at the Fao terminal would also allow the four installed single point mooring buoys (SPMs) to reach their capacity of 900,000 bpd each — up from about half that now — and potentially add a fifth SPM.

More here from Platts.

(Source: Platts)

Eni CEO meets Iraqi Oil Minister

The oil minister of Iraq, Jabbar Ali Hussein Luaibi, and the Chief Executive Officer of Eni, Claudio Descalzi (pictured) met in Baghdad on Saturday.

During the meeting Eni’s CEO had the opportunity to outline the Company’s current activities in the country in light of the recent achievements of the Zubair field development, where the production has grown by over 100% since 2015.

The project, carried out by Eni with Basra Oil Company (BOC), has marked the fast track development of one of the largest producing oil fields in the Southern Iraq region of Basra.

Furthermore Claudio Descalzi updated the Minister Luaibi on a new 380 MW power plant which is in the final stages of construction. The plant will generate power for Zubair field and for domestic consumption in Basra Governorate.

Claudio Descalzi and Minister Jabbar discussed additional increase of Zubair production, future opportunities and development investments that would further strengthen Eni’s relationship with the country. Eni’s CEO has in fact confirmed Eni commitment in Upstream sector in Iraq and its support to the country through several initiatives.

Eni’s CEO and the Minister of Oil discussed among other things on the progress of social projects that are currently underway in the Basra Governorate in the areas of healthcare, education, through the construction among other things of one secondary school in Basra for 900 students and refurbishment of existing ones targeting total of 77 schools within the next 4 years, access to energy, through the expansion of the power plant, clean drinking water, through the overhaul of drinking water treatment plants, and new initiatives in agriculture sector which will allow creation of jobs and the development of local economy.

Finally, Eni’s CEO highlighted potential synergies related to energy projects in Iraq, a strategic lever for the Country in maximizing its use of national natural resources through project integration within the entire energy chain and double country oil production within limited time.

Eni has been present in Iraq since 2009, where it operates through its subsidiary Eni Iraq B.V., and with the ramp up of the Zubair Field Development Project (Eni 41.56%, Kogas 23.75%, BOC 29.69%, Missan 5%) the Company has become one of Iraq’s main operators in the oil sector. Eni currently operates 475,000 barrels of oil equivalent per day in Iraq.

(Source: ENI)

Protests at Nahr Bin Omar Oilfield

By John Lee.

Police on Sunday have reportedly used tear gas to disperse around 150 protesters at the main entrance to the Nahr Bin Omar oilfield in Basra.

According to Reuters, officials said operations were running normally, with production at about 44,000 bpd.

The field is operated by the state-run Basra Oil Company (BOC).

(Source: Reuters)

Chevron to Develop Oil Fields in Basra

By John Lee.

The state-run Basra Oil Company (BOC) has signed a memorandum of understanding with US oil company Chevron to develop oil fields

BOC announced the start of the first phase of work and cooperation with Chevron US to develop some oil fields and the establishment of a company.

The Director-General pointed out that this project will provide employment opportunities and social services for citizens in the province.

(Source: Iraqi Oil Ministry)

Petrofac awarded Basra Oil Company EPC Contract

Petrofac has been awarded a contract worth around US$370 million by Basra Oil Company (BOC) for expansion of the Central Processing Facility (CPF), located in the Majnoon Field, Southern Iraq.

Under the terms of the 34-month contract, the lump-sum engineering, procurement and construction (EPC) project scope of work includes two oil processing trains, able to process 200 kbopd.

Petrofac was previously awarded a contract in 2011 and delivered engineering, procurement and construction management for the execution and completion of the existing CPF at Majnoon.

Elie Lahoud, Group Managing Director, Engineering & Construction – Iraq, Oman and Saudi Arabia, commented:

“We have developed a significant track record in Iraq with enhanced local delivery, successfully providing services both onshore and offshore since 2010. This important contract win demonstrates Petrofac’s long-lasting client relationships and our ongoing commitment to extending our operations in this key market that complements our broad service capabilities, international experience and expertise.”

(Source: Petrofac)

Shell hands over Majnoon Oilfield

By John Lee.

Shell has reportedly exited the Majnoon oilfield and handed over its operations to the Basra Oil Company (BOC).

Sources told Reuters that the handover was formalised on Wednesday, and that the process was “smooth“.

According to the news agency, Anton Oilfield Services (AntonOil) and Petrofac will now operate the giant oilfield on behalf of the BOC, under a two-year contract; last month, KBR announced that it will has been awarded a contract for the development of the field.

(Source: Reuters)

Exxon Out of Desalination Project

By John Lee.

Talks between ExxonMobil and Iraq on the multi-billion-dollar Common Seawater Supply Project (CSSP) have reportedly broken down.

According to Reuters, the director general of the Basra Oil Company (BOC) told reporters that the BOC will award the contract through a tender process, which it expects to complete at the end of July.

It adds that the BOC has already shortlisted three companies from an initial list of seven for the contract.

(Source: Reuters)

Chevron signs Contracts with Iraqi Oil Companies

By John Lee.

The US oil company Chevron has signed an agreement with Iraq’s Basra Oil Company (BOC) and Dhi Qar Oil Company (DQOC) to provide expertise and services, including seismic surveys, to the Iraqi companies.

Assim Jihad, Spokesman for the Ministry of Oil, said the Ministry aims to sign more memorandums of understanding with international companies to exchange experience and develop local capabilities in the oil and gas sector.

(Source: Ministry of Oil)