Dragon Oil, the upstream subsidiary of Dubai state firm Enoc, has signed a Heads of Agreement (HoA) with Iraq’s state-owned Dhi Qar Oil Company for the development of the Subba and Abu Amood fields. Dragon Oil is to develop the two oil fields in a consortium with US services firm KBR and Iraq’s International Free Company. The latter is a subsidiary of Iraqi conglomerate Shamara Group with a focus on power projects.
Subba is currently operated by Dhi Qar Oil Company, and production resumed in 2023 after having earlier been shut in since 2018 (MEES, 27 January 2023). Pilot production appears to have been capped below 25,000 b/d, although 100,000 b/d surface processing facilities were commissioned by state engineering firm SCOP on 13 May. Earlier this year, oil minister Hayan Abdulghani reiterated that he intends for Subba output to reach 70,000 b/d following further reservoir reassessment and drilling. (CONTINUED - 202 WORDS)