No solution to $27b Iraq energy deal yet

Country’s new govt wants 40% share in project

LONDON:

The stalled agreement between Iraq and TotalEnergies over a $27 billion energy project has yet to find a resolution, the French oil major’s Chief Executive Patrick Pouyanne said at the firm’s climate update on Tuesday.

TotalEnergies agreed in September 2021 to invest in four oil, gas and renewables projects in Iraq’s southern Basra region over 25 years, with an initial $10 billion. But the deal has been stuck amid disputes over terms.

Iraq’s new government, voted in last October, insists the country take a 40% share in the project, which has been a key sticking point, sources said. “I hope we find common ground. I worked on it in the last month, but again, we need to have this political answer,” he said.

Published in The Express Tribune, April 6^th, 2023.

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