The Iraqi Oil Ministry Thursday conducted the second and last day of bidding on 12 exploration blocks as the country aims to boost oil and gas output.

The ministry awarded only one of six exploration blocks on offer Wednesday. Four of the six blocks failed to attract bids. A bid for another block was rejected because the bidder demanded a higher remuneration fee than the ministry was willing to grant.

However, more companies were expected to submit bids Thursday, company executives said.

"Japanese firms are preparing to bid in today's session," one company official said.

"Kuwait Energy will be more aggressive today and they will submit bids for one or two blocks," he added.

Kuwait Energy and its partners, Turkey's TPAO and United Arab Emirates-based Dragon Oil, secured the only block awarded Wednesday. The block is located in Basra in southern Iraq near the border with Iran.

A consortium led by U.K.-based Premier Oil also bid on one block but rejected the ministry's offer to explore block 12 for a remuneration fee of $5 a barrel. The group, which included PetroVietnam and Russia's Bashnent, sought a $9.85 a barrel.

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