↑ Scroll to top

Iraq Tells Lukoil to Cut Oil Production Target at West Qurna-2

Published: December 27, 2012 | 8:36 am
Text size: -A +A

OAO Lukoil, the Russian oil company with the most assets overseas, said Iraq asked it to cut its production target at the West Qurna-2 project by 33 percent.

Lukoil will aim for peak output of 1.2 million barrels a day in 2017 rather than 1.8 million barrels a day at the request of the Iraqi government, Andrei Kuzyaev, head of Lukoil Overseas, said on Russian state television in comments confirmed by Grigory Volchek, a company spokesman.

Iraq, a member of the Organization of Petroleum Exporting Countries, or OPEC, is currently not assigned allocations or quotas for its oil output as the war-torn middle eastern nation attempts an economic recovery.

The Iraqi request is related to infrastructure issues and a nationwide reduction in planned output, Kuzyaev said, without elaborating.

Lower output targets mean Lukoil will have a better chance of reaching the production levels that trigger compensation payments, said Alexei Kokin, an oil and gas analyst at UralSib Financial Corp. in Moscow, in a research note today.

bloomberg

VN:F [1.9.10_1130]
Rating: 0 (from 0 votes)
Share on Facebook Share on Twitter
More posts in category: Latest News
  • Jury sides with Kevin Costner in BP spill lawsuit
  • BP’s Fate Rests With Ex-Maritime Lawyer
  • UPDATE: Saudi Arabia Reluctant To Replace Iranian Crude-Official
  • Chelsea: Rafael Benitez boos silenced by goals