Iraq has over 147 billion barrels of total proved oil reserves and 127 Tcf of proven natural gas reserves as at 31 December 2018. Its total oil production averaged approximately 4.7 mmbopd and its total gas production averaged 1.3 billion cubic feet per day during 2018.*

Kuwait Energy’s assets in Iraq are close to significant existing market and transportation infrastructure and represent 96% of its gross 2P reserves as at 30 June 2018. In 2011, Kuwait Energy was awarded a 20-year gas development and production sharing licence in Iraq for the Siba gas field. In 2012, Kuwait Energy was also granted an exploration and development licence for up to a maximum of 30 years over Block 9 near Basra.

Block 9 is a giant exploration oil block comprising a gross area of 865 km2 and located north of the city of Basra, adjacent to the Iranian border. The first Block 9 exploration-well, Faihaa-1 spud in March 2014 which led to significant oil discoveries in the Mishrif and Yamama reservoirs. According to Wood Mackenzie, Block 9 represents one of the largest independent-operated oil field developments globally. Production from Faihaa-1 commenced in October 2015 and subsequently 3 further wells were drilled and producing by year end 2018 under an early production arrangement agreed with the government.

Siba is a gas field covering a gross area of 165 km2 and located in southeast Iraq near the city of Basra and the border of Iran. It lies within a prolific petroleum province that has many oil fields in the vicinity, including the large Zubair and Rumaila fields. The Company commenced the commercial export of 25 mmscfd of processed gas and 6.5 kboepd of associated condensate in September 2018.

*According to the BP’s Statistical Review of World Energy 2019 (June 2019).