BP Eyes Profit-Sharing Deal for Iraq's Kirkuk Oil Fields

BP is set to re-enter Iraq's Kirkuk oil and gas fields under a profit-sharing model. A final agreement is anticipated by year-end, following a recently signed preliminary deal. BP had previously exited Kirkuk in 2019 after an expired service contract.

BP is poised to re-enter Iraq's Kirkuk oil and gas fields under a profit-sharing model. Iraqi oil ministry officials announced that a finalized agreement is expected by the end of this year. Earlier this month, a preliminary deal was signed to develop four oil and gas fields in Kirkuk, fields that BP estimates contain around 9 billion barrels of recoverable oil.

Following BP's return after nearly five years, a confidentiality agreement is expected to be signed this week. Subsequently, Iraq will provide BP with a data package concerning Kirkuk's four fields and installations, according to anonymous ministry officials authorized to speak on the matter.

BP declined to comment on the situation. The oil giant withdrew from the Kirkuk oilfield in late 2019 after its 2013 service contract expired without an agreement on the field's expansion.

(With inputs from agencies.)