Azerbaijan, Baku, 13 March / Trend A.Taghiyeva /
The Government of Iraq has issued an official permit for the French company Total to participate in the tender for the development of the Al-Nasiriya oil field and construction of a refinery in the south of the country, a source in the Iraqi government told Trend on Wednesday.
According to the source, along with Total, the permission to participate in the tender was issued to other six companies including the Indian company Reliance. This firm previously held a share in deposits on the territory of the Iraqi Kurdish autonomy, however sold it in July last year.
The tender will involve two Russian companies - Lukoil and Zarubezhneft, the source said.
The final tender is scheduled for April 2013. The tender winning company will also build a refinery with a capacity of 300,000 barrels per day, the source said.
In August 2012, Total signed an agreement with the Kurdish autonomy of Iraq on acquisition of a 25 per cent stake in the Taza field, a block located in the region of Sulaimaniya in northern Iraq. Total paid $48 million to the Canadian company ShaMaran Petroleum, engaged in the development of oil and gas projects in Kurdistan.
In response, Iraq declared its intension to take legal measures against the French company. Iraq intended to force Total to sell its 25 per cent stake in the al-Halfa field in the south and deprive it of its right to participate in other projects announced by the country.
According to BP, Iraq's proven oil reserves amounted to 143.1 billion barrels as of late 2011. The country ranks third in OPEC after Saudi Arabia and Iran.
The major oil fields of Iraq are Rumaila, Zubair, Nahr Umr, Majnoon and West Qurna in the south of the country. Some 80 per cent of oil produced is exported.
According to the 2012 results, oil production in Iraq totalled 3.2 million barrels per day compared to 2.29 million barrels in 2011.