Local
authorities in the Iraqi Anbar governorate have finally given their approval
for a consortium led by Korea Gas Corp., known as Kogas, to develop Akkas gas
field in western Iraq
after delaying the initial signing for a few weeks, head of the governorate
said.
"We welcome South Korean companies to develop Akkas gas field and invest
in other projects in Anbar," Jasim Mohammed Hamad, mayor of the western
Anbar province, where the field is located, told the local Al Anbar satellite
channel late Sunday after meeting with the South Korean ambassador to Baghdad.
The deal was scheduled for signature on Nov. 14 along with two other gas
fields, but some concerns from local authorities have prompted contractors
Kogas and its partner Kazakhstan's
KazMunaiGas EP JSC to delay the signing.
Authorities in the western Anbar province had earlier rejected some provisions
of the contract with the Kogas-led group particularly the one which deals with
exports and sought clarifications from the oil ministry in Baghdad. The local authorities would prefer
the produced gas to be consumed locally to produce power to address acute
shortages in the governorate.
Newly appointed oil minister Abdul Kareem Luaiby said Saturday: "We have
cleared all the misunderstanding and the contract will be signed within
days."
The electricity ministry announced Sunday that it had invited international
companies to build a 250-megawatt gas-fired power station near Akkas field.
Kogas and KazMunaiGaz were awarded the field, with estimated proven reserves of
5.6 trillion cubic feet at a bidding round held in Baghdad in October.
Deals for two other smaller gas fields, Mansouriya in the eastern Dialya
province and Siba in southern Basra
governorate, were signed in November.