TotalEnergies, Iraq to Move Ahead on $10 Billion Investment Deal

TotalEnergies SE and the Iraqi government reached a deal to move ahead on an investment plan worth about $10 billion to boost oil, gas and power production in the Middle Eastern country.

(Bloomberg) — TotalEnergies SE and the Iraqi government reached a deal to move ahead on an investment plan worth about $10 billion to boost oil, gas and power production in the Middle Eastern country.

Iraq’s state-owned Basrah Oil Company will take a 30% stake in the so-called Gas Growth Integrated Project, the French company said Wednesday, confirming an announcement made by Iraqi authorities Tuesday evening. TotalEnergies has also invited QatarEnergy to take a 25% stake in the project, while the French energy giant will hold a 45% interest.

The project mainly aims to recover flared gas on three oil fields in order to supply power plants, and to build a seawater treatment plant to provide water injection for pressure maintenance to increase regional oil production, TotalEnergies said Wednesday. The deal was first announced in September 2021.

The French company will also develop a 1-gigawatt solar power plant to supply the Basrah region, and will invite Saudi utility Acwa Power Co. to join the project.

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