China National Petroleum Corp (CNPC) announced that its subsidiary won an engineering, procurement, and construction (EPC) contract valued at 1.4 billion yuan ($194 million) to drill wells with two rigs in Iraq’s Rumaila oilfield.
The deal marked the single largest overseas contract CNPC Daqing Drilling Engineering Company has secured in the past five years, according to a statement posted on the firm’s official WeChat account.
However, the statement did not provide the number of wells to be drilled under the contract.
In 2010, Daqing Drilling began providing its well-drilling service in the Rumaila oilfield, shortly after CNPC and BP signed a 20-year service contract with Baghdad to develop the giant oilfield.
Iraq planned to increase its oil production capacity to around 7 million barrels per day in 2027, with main increases coming from Rumaila and West Qurna-2, an Iraqi state oil official said last November.
