US Firms Position for Akkas Gas Field Development in Iraq

Iraq is considered by OilPrice.com to be a geopolitically important country for the US, China, and Russia within the Middle East, sharing borders with Iran, Turkey, Syria, Jordan, and Saudi Arabia. Within Iraq, the western desert province of Anbar is highlighted as a geopolitically vital area, with the Akkas gas field identified as its most strategically important asset.

Following the new Iraqi Prime Minister Ali al-Zaidi taking office on 16 May, American firms have reportedly positioned themselves for the development of the Akkas field. This initiative forms part of a broader US energy push into Iraq, which, according to OilPrice.com, includes major oil-field investments and a proposed 2-million-barrels-per-day (bpd) Iraq-Syria pipeline, alongside numerous agreements with American companies.

Akkas Field Production Targets

The Iraqi government's objective for the Akkas gas field is to increase production to 400 million standard cubic feet per day (MMscfd) by 2030, marking a nearly tenfold increase from its current output of 43 MMscfd. An interim target aims for 143 MMscfd by mid-2027.

These targets are supported by existing contracts, including one with multinational SLB (formerly Schlumberger), which covers the drilling of six wells and the construction of a processing facility with a capacity of 100 MMscfd. This information was provided by Mohammed Yassin Hassan, director general of Iraq’s Midland Oil Company, which partners with SLB on the Akkas field.

US Company Involvement

In late July, the Iraqi Oil Ministry signed a memorandum of understanding (MoU) with a consortium of US-based companies: ConocoPhillips and TI Capital, alongside Novaterra Energy. This MoU is for assessing the exploration and development potential of the Akkas site and surrounding regions.

This development follows ConocoPhillips' agreement to acquire a 42% interest in BP Energy Company of Kirkuk Limited from BP. The acquisition is intended for the redevelopment of five producing oil fields in northern Iraq's Kirkuk area: the Baba dome and Avanah dome (both part of the Kirkuk field), the Bai Hassan field, the Jambur field, and the Khabbaz field. Additionally, TI Capital is reported by OilPrice.com to be collaborating with US supermajor Chevron.