The Prime Minister, Mr. Muhammad S. Al-Sudani sponsors the ceremony of the events of 5th supplementary and 6th licensing rounds and confirms the trend to invest oil in manufacturing industries
The Prime Minister, Mr. Muhammad S. Al-Sudani, sponsored on Sat. 11/5/2024 the ceremony of announcing licenses for the 5th supplementary round and the entire 6th round, which includes a total of 29 projects for oil and gas exploratory fields and blocks, distributed among 12 governorates, as these strategic projects will contribute in increasing investments in those governorates that helps improving its economic and service situation.
Iraq expects obtaining more than (3459) million standard cubic feet per day of gas, and more than one million barrels of oil per day, through these two rounds.
In a speech of al-Sudani, he welcomed representatives of Arab and foreign companies, praising the efforts made by the Ministry of Oil, which is the beginning of greater efforts and opportunities that will be reflected in every aspect of our national economy.
He also expressed his appreciation for the efforts made by the relevant agencies and ministries, which resulted in creating the appropriate environment for implementing these projects.
The Prime Minister referred to the government program that devoted a wide scope to the government’s vision of achieving the slogan (towards optimal investment of oil and gas), by adopting a new policy in investing oil wealth. He also stressed the commitment of the government and all state institutions to work away from bureaucracy and complex routine in order to facilitate the business and investment environment.
The following are the highlights of the Prime Minister’s speech:
- The expected revenues must be used to lift the rest of the economic fields that our people are waiting for.
- Iraq is a difficult number in the world's energy and oil wealth equation.
- Our goal is to invest this wealth, starting with putting an end to burn the associated gas, which will stop within 3-5 years, and stopping the devastating environmental effects of this process.
- We are heading to invest our oil production and transform it into petrochemical manufacturing industries.
- Our goal is to convert 40% of oil production over the next 10 years into oil products.
- Free gas investment, which is being implemented through the sixth round, is the most important investment for this idle wealth.
- We are proceeding with integrated oil projects, which have been announced, and are being discussed with companies.
- The establishment of a fixed gas platform in the huge Al-Faw Port, along with the development road project, which includes an oil and gas transportation line, will establish a new situation for Iraq in the operating energy market.
- The Ministry of Oil worked to prepare for these rounds, through workshops and meetings with consultants.
- We have dozens of international companies competing to invest wealth, which indicates Iraq's increasing cohesion with the global economy.
- We have initiated real reforms in tax, customs, and banking reform, to complete the ideal investment environment for the work of oil companies.
- We direct the Ministry of Oil to formulate this policy and rush strongly without hesitation to develop optimal plans for investing wealth, which will find full support from the government and the Council of Representatives.
- We will not pay attention to obstructive voices, and we stress the Ministry of Oil should take confident and expressive procedures.
- We call on investing companies to begin their tasks as soon as possible.
- We were keen to distribute projects in more than one governorate to achieve the broadest development in all governorates of Iraq.
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The Prime Minister’s Media Office
11/5/2024
