Iraq signs development agreement with US firm HKN for Hamrin oil field

Shafaq News – Baghdad

Iraq’s Ministry of Oil announced on Tuesday the signing of a memorandum of understanding between the North Oil Company and US-based HKN Energy to invest in and develop the Hamrin oil field.

Speaking at the signing ceremony in Baghdad, Oil Minister Hayan Abdul-Ghani reaffirmed the ministry’s commitment to working with “reputable” American, Western, and international energy companies to develop Iraq’s oil fields, optimize associated gas investment, and boost production capacity in support of the national economy.

“We aim to increase Hamrin’s production capacity to 60,000 barrels per day, in addition to utilizing between 45 to 50 million standard cubic feet (Mscf) of associated gas to help fuel Iraq’s power plants,” he said, pointing out that the field is currently producing between 20,000 and 25,000 barrels per day, despite prevailing economic and security challenges.

US Ambassador Steven Fagin welcomed the agreement, considering it encouraging to see an American company investing in Iraq.

HKN Vice President Matthew Zais expressed pride in the partnership, stating that the goal is to employ 80% local Iraqi labor and contribute to the development of the local community in the area of operations.