Production began at Iraq's Siba gas field in the hydrocarbon-rich southern province of Basra, Iraq鈥檚 Oil Ministry announced Thursday.
Oil Minister Jabbar Ali Al-Luiebi opened the central gas production station to start initial commercial production with a capacity of 0.71 million cubic meters per day (mcm/d).
The minister said that the goal was to produce 2.83 mcm/d by the end of 2018.
Al-Luiebi added that the project would lead to an increase in the volume of dry gas supplied to power stations, in addition to the production of 1,200 barrels/day of liquid gas and 19,000 barrels/day of gas condensate.
The minister praised the efforts of operators, Kuwait Energy and Turkish Petroleum (TP), as well as the supporting authorities which 鈥渆nabled a long-time dream to come true鈥�.
The consortium of Kuwait Energy and TP was awarded the investment contract in 2011, with shares of 60 percent and 40 percent, respectively.
Ministry spokesman Assim Jihad said the field was discovered in 1967, and drilling began five years later only to be stopped in 1993.
The work at the field started again in 2011 after it was awarded to Kuwait Energy during the third licensing round, Jihad said, adding the rehabilitation process included the removal of land mines, shells and war debris, followed by the launch of the third seismic survey.
The field is estimated to hold 0.04 trillion cubic meters of gas reserves.
-Majnoon oilfield
Meanwhile, state-owned Basra Oil Company signed two contracts, worth $118 million, with China鈥檚 Anton Oilfield Services and U.S. engineering company KBR to operate and maintain the Majnoon oilfield in southern Iraq, the ministry said in another statement.
Al-Luiebi confirmed the keenness of the ministry to develop production at the super-giant Majnoon field to achieve higher production levels in accordance with the project's plans. He said the field, which is one of Iraq's biggest, would be developed through national effort 鈥渁fter the withdrawal of BP from the development operations鈥�.
Ihsan Abd Al-Jabbar, director-general of Basra Oil Company, said that Anton Oil and KBR would provide consultation services "to develop abilities and transfer information". He said the contracts also included a program of administration and standard maintenance to the field, in line with international requirements.
By Hale Turkes
Anadolu Agency
energy@aa.com.tr