Iraq and French energy company TotalEnergies have finalized a $27 billion energy deal aimed at increasing oil production and enhancing Iraq’s energy capacity through four oil, gas, and renewables projects.
Despite facing delays and disputes over terms, the agreement was eventually closed in April, with Iraq accepting a reduced stake of 30% in the project.
TotalEnergies holds a 45% stake, while QatarEnergy owns the remaining 25%. The Gas Growth Integrated Project (GGIP) will play a crucial role in improving Iraq’s electricity supply by utilizing flared gas from oilfields and developing a solar power plant.
The project also includes a treatment plant to utilize seawater instead of limited freshwater for oil production. This landmark agreement signifies a significant step towards attracting foreign investment in Iraq’s energy sector and marks the beginning of renewable energy investments in the country.