Iraq, Pakistan Petroleum ink natural gas deal

05 November 2012 | 21:40 Code : 1908738 Latest Headlines

 

(MENAFN) Iraq's Oil Ministry announced that it has inked a final service deal with Pakistan Petroleum to explore natural gas in the country's eastern region, reported Xinhua News.

The ministry said that the government has awarded the contract to Pakistan Petroleum in late May, and the company would carry out its operations in a 6000 square km block stretches in Diyala and Wasit with assumed natural gas reserves.

It noted that the Pakistani firm, which will invest USD100 million in the project, won the 5-year contract after it offered USD5.38 per barrel of oil equivalent.

It is worth noting that Iraq, which depends on oil revenues for around 95 percent of its budget, has proven reserves of 112 trillion cubic feet of natural gas.