The Iraqi Oil Ministry has announced that state-run firms will begin to develop the Mansuriyah gas field after the “delay and failure” of international companies to resume work there. Oil Minister Jabar al-Luaibi issued a statement on Tuesday ordering the companies to develop the gas field after foreign firms did not resume operations despite repeated requests from the government. In 2011, Iraq signed a deal with a group led by Turkey’s state-owned TPAO and including South Korea’s Kogas and the Kuwait Energy Company to develop the field in Diyala province. The ministry indicated that it needs to start gas production from Mansuriyah to feed the power stations and cope with electricity shortages. Iraq is planning to produce up to 100 million cubic feet a day within a year, which should gradually rise to 325 mcf/d in coming years, the oil ministry statement, a copy of which was obtained by Asharq Al-Awsat, said. Oil Ministry spokesman Asim Jihad said having state firms develop Mansuriyah will help to produce gas needed for a nearby power station and cut fuel imports which burden Iraq’s budget. He added that this will reduce gas fuel imports and provide hard currency to the Federal Treasury, as well as provide jobs for the people of the province through the involvement of private sector companies in the implementation of some services and secondary contracting for the project.
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