ERBIL, Kurdistan Region (Kurdistan 24) – Iraq’s oil minister, Jabbar al-Luaibi, on Tuesday announced that talks on maintaining a cap on oil production would be postponed until December as the country needs four billion dollars for new investments in its downstream oil industry.
Speaking at the International Conference for the Reconstruction of Iraq being held in Kuwait, the Iraqi minister assured OPEC and non-OPEC members that the war-torn country would not be exiting the supply cut agreement.
He added that any review of the deal would have to wait until late in the year.
Iraq is in full compliance with its quota of cuts, Luaibi continued, but it was looking to invest in its downstream oil industry.
The Federal Government of Iraq plans to boost its crude oil production capacity to seven million barrels per day (bpd) by 2022, from five million bpd at present, he said.
Luaibi also noted that the central government had asked British giant BP Energy to help boost production in oil fields in Kirkuk which are now under the control of Baghdad as a result of the Oct. 16 attack and takeover by Iraqi forces.
BP is the biggest foreign player in Iraq’s energy sector, operating in the Rumaila field in the south and producing 1.5 million bpd.
The minister spoke at the donor’s conference for the reconstruction of Iraq where officials have claimed efforts to rebuild infrastructure and services following the defeat of the Islamic State will cost roughly $88.2 billion.
Editing by Karzan Sulaivany