Halfaya Oil Production Up Five-Fold, Ahdab 2nd phase 3 years ahead on schedule

Posted on 30 December 2011. Tags: Iraq, Oil & Gas, oil productionHalfaya is not currently the most exciting oil field, but it is growing fast. In less than two years, the large consortium of Chinese, Malaysian and French companies developing it has increased production from 3,000 barrels per day to around 15,000 bpd, with 2,000 bpd of those having just been added with a new well, according to Missan Oil Company, which is overseeing the project.CNPC, Total and Petronas are drilling 300 wells over five years to free up more than 500,000 bpd in an oilfield with as much as 15 billion barrels of reserves. The oilfield in the south-east of Iraq was initially believed to hold recoverable reserves closer to four billion.Back in summer, state-run Missan Oil Co. had expected Halfaya to be producing 90,000 bpd by the first quarter of 2012. Now it expects a more modest 70,000 bpd by the end of 2012. Still, it is a good growth rate from modest beginnings. (Sources: Bloomberg)=============CNPC says gets first payment for developing Iraq oilfieldThu, Dec 29 21:00 PM ESTBEIJING, Dec 30 (Reuters) - State-owned China National Petroleum Corp (CNPC) has received its first cargo of crude oil as payment for helping develop Iraq's Al-Ahdab oilfield, the top Chinese oil firm said on Friday.A CNPC unit picked up the 650,000 barrels of oil on Dec 29, following a framework deal with Iraq's state oil sales company in June, CNPC said in its inhouse newspaper.The parent of PetroChina Co Ltd started work on the Al-Ahdab oilfield in March 2009 after successfully renegotiating an old development deal. The field had estimated reserves of 1 billion barrels.Output in the field in the first phase reached 60,000 barrels per day in June, half a year earlier than planned, and the construction of the second phase with capacity of 120,000 bpd was completed on Friday, three years ahead of schedule, CNPC said.CNPC, the first foreign oil company to sign an oil service contract in Iraq after former president Saddam Hussein was toppled, has also started to get paid for developing Iraq's largest Rumaila oilfield along with BP.CNPC is also developing Iraq's Halfaya oilfield along with France's Total SA and Malaysia's Petronas.
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China’s firm to drill 30 new oil wells at Halfaya by end of 2012



By Majid al-Baldawi



A Chinese firm has drilled 13 new wells at the Halfaya oil field and plans to drill 17 more by the end of the year, said the head of the state-run Maisan Oil Company, Ali Maarij.



Maarij said the drilling was being carried out by China Petroleum and Engineering Corp (CPECC) which last year won a $174 million to build crude processors and dig new wells.



Halfaya is one of Iraq’s largest oil fields with reserves estimated at 15 billion barrels of oil. The field also contains significant gas reserves.



The field is being developed by Iraq, China national Petroleum Company (CNCP) and other partners.



The contract awarded to CPECC is part of the overall strategy by Halfaya partners to eventually boost output to more than 500,000 barrels a day.



Maarij said the new oil wells were prolific with some of them producing as much as 5,000 barrels of oil a day.



He said Halfaya was expected to add more than 70,000 barrels of oil to national output by the end of 2012.



Iraq has a contract to develop Halfaya with CNPC, France’s Total and Malaysian state company Petronas. Under the deal the foreign partners will reap $1.40 per each barrel from Halfaya.



CNPC has a 37.5 percent interest in the consortium. === Petrofac Wins $90m Contract at Rumaila Posted on 29 June 2011. Tags: BP, China Petroleum Engineering & Construction Corporation, CPECC, Petrofac, Rumaila Petrofac Wins $90m Contract at Rumaila Update, RBC Capital Markets opinion: albeit the size of the contract is not material compared to Petrofac’s backlog, we believe that any positive developments from Iraq should be seen as a positive step for Petrofac. This region becomes increasingly strategic, especially for the newly created Integrated Energy Services (IES). This contract award follows the EPC for the early production facility of the Shell-operated Majnoon field ($240m in March) demonstrating PFC’s ability to build a presence in the country. Petrofac, the international oil & gas facilities service provider, announces that BP Iraq NV (BP) has awarded Petrofac and its joint venture partner, China Petroleum Engineering & Construction Corporation (CPECC), an inspection, maintenance and repair contract worth US$90 million for the Rumaila oil field in Southern Iraq. Petrofac’s Offshore Engineering & Operations (OE&O) business will lead the one-year contract, which is effective from 28 June 2011, and is worth US$63 million to the group. Work will commence following a short transition and the scope of the contract covers rotating machinery, degassing stations and cluster stations. The project is being undertaken in partnership with CPECC, a company which has well established operations and infrastructure in Iraq. As part of the agreement Petrofac’s staff will be based at CPECC’s accommodation facilities in Rumaila. Commenting on the award, Petrofac’s group chief operating officer, Maroun Semaan, said: “We continue to be focused on our ongoing activities in Iraq and this most recent contract win demonstrates our strategic intent to grow the breadth and depth of our service delivery within the country. It also provides an excellent opportunity for us to establish closer relations with the BP Iraq team and to continue to develop our own in-country knowledge and presence.” Bill Dunnett, managing director, Petrofac OE&O added: “We’re delighted to be able to continue to support our existing customer, BP, in its onshore operations and to build on our relationship which started in the UK North Sea and developed more recently when we took over the operatorship of the Sajaa asset in Sharjah earlier this year. This contract will be run from our operating centre in Sharjah and we hope it will further establish our capability both in the country and the region to maximise any future opportunities.“ The Rumaila oil field, discovered by BP in 1953, is located in Southern Iraq, 32km from the country’s border with Kuwait. ================== CPPES Kickoff Meeting in Beijing 2/12/2012 2/12/2012 Text Size:[Larger][Medium][Smaller] A successful CPPES kickoff meeting was held in Beijing on February 7 and 8, 2012.In the meeting, details on CPPES’s preparatory work and the first project to be initiated, i.e. Lot B of the Second Central Processing Facilities of Natural Gas Production in Bagtyjiarlyk Contractual Area, Turkmenistan, were mainly discussed. On February 7, both joint venture parties discussed the progress of CPPES’s office registration and establishment in Sharjah, CPPES’s work description and preparatory work such as designers’ relocation and outlook on future work. On February 8, the Joint Venture, together with CPECC Turkmenistan branch, further discussed the design work on Lot B of the Second Central Processing Facilities of Natural Gas Production in Bagtyjiarlyk Contractual Area, identified work scope of the Project, clarified key issues such as design standards and contents of site survey and finally reached a consensus. Both parties agreed to hold a detailed kickoff meeting as soon as possible in the future several weeks. Attendees of the meeting were Deputy General Manager of the Company (Mu Huadong), the consultant of the Joint Venture (Du Guangjian), heads of Turkmenistan branch, General Manager of CPPES (Bob Ballantyne), Chinese representative of Petrofac (Jiang Junyan), heads of relevant departments of the Company headquarters and representatives of Beijing design branch. ============== While CNPC/ CPECC built or allocated space for praying by building a shelter for Mosque/ Hessainyah purpose in oil fields of Rumaila, Ahdab, but its mostly dominated by arab/pak employees who are Salafists which is being rarely used by fellow Iraqi employees due to different school of thought. Malysians on other hand despite belonging to Mayasia, but tehir hatred towards Shia Islam caused recent conflict in Iraq, if its not going to change its attidue in Iraq, it should be expelled from Southern Iraq in the same way as Exxon. Canadians are right in rejecting their bid for Progress Energy as respect to local culture, sectarian harmony is basis for any business growth. Protestors storm Garraf oil field after religious dispute Workers operate a Weatherford drilling rig at the Garraf oil field. (STAFF/Iraq Oil Report/Metrography) By Staff of Iraq Oil Report Published November 30, 2012 GARRAF - Villagers near the Garraf oil field in southern Iraq's Dhi Qar province stormed the field offices of Malaysian oil company Petronas, injuring two people and damaging offices, vehicles and other equipment. The attack was prompted by a dispute over religious observances, which may have been amplified by misinformation, sectarian tensions, and prior resentments of the Malaysian company Petronas, which has a 2010 contract to develop the field. "They went in groups and attacked the company off... =========== Edgo and ICCB complete the construction of the Petronas camp Edgo has teamed up with the local Iraqi Construction and Consultants Bureau (ICCB) in an EPC project for the construction of Petronas Carigali’s base camp complex in Garraf, Iraq. The Garraf facilities, near the southern Iraqi city of Nasiriyah, 230 miles south of the Iraqi capital, include accommodation, offices, catering and dining facilities, clinic, recreation zones, workshops and warehousing. The construction contract of the base camp facility will be followed with an Operation and Maintenance contract to include camp management, security and catering. The camp is accommodating Petronas personnel during the drilling, construction, commissioning and operations of the Garraf Early Production Facility. ========