Iraq, in collaboration with TotalEnergies, is on course to achieve significant milestones in advancing its energy infrastructure. As confirmed by the Iraqi prime minister's office, TotalEnergies endeavors to complete initial phases of a solar power endeavor and an associated gas project by 2025, as stated by the company's chief executive Patrick Pouyanne.
The prime minister's office outlined the immediate objectives, noting, “The first phase of the gas project in southern Iraq is expected to initially produce 50 million cubic feet a day (mcf/d) within the next year.” This endeavor underscores Iraq's strategic imperative to bolster domestic natural gas production for power generation, thereby alleviating the strain caused by import reliance on the country's budget.
Presently, Iraq heavily leans on Iranian gas imports to sustain its power grid, highlighting a pressing need for enhanced domestic energy capacity. This necessity was addressed through a comprehensive energy agreement forged between Iraq and French oil giant TotalEnergies last year, valued at $27 billion. The agreement encompasses an array of projects spanning oil, gas, and renewable energy sectors, signaling a concerted effort to fortify Iraq's energy landscape.
Integral components of the agreement include the augmentation of production at the Ratawi southern oilfield and the establishment of pivotal infrastructure, including a 1 GW solar power plant, a 600 mcf/d gas processing facility, and a seawater supply project crucial for enhancing southern oil production. Notably, Iraq's challenge of gas flaring, resulting from the absence of adequate processing facilities, has been addressed through these initiatives, aiming to reduce dependency on Iranian electricity imports.
The collaborative endeavors between Iraq and TotalEnergies reflect a shared commitment to achieving energy self-sufficiency and fostering fiscal stability through sustainable energy development initiatives.
