Shell’s Iraqi Oil

A joint bid from oil companies Shell and Petronas has today secured a contract for one of Iraq’s “supergiant” oilfields following a two-day-long auction of the resources. “Majnoon, in southern Iraq, near the border with Iran, has reserves of 12.6 billion barrels of oil and currently produces 45,900 barrels per day (bpd). The consortium, which is split 60 per cent for Anglo-Dutch Shell and 40 per cent for the Malaysian state-owned Petronas, offered fees of $1.39 per barrel and projected that they would produce 1.8 million bpd. The bid beat offers from the Iraqi Oil Ministry and from the French energy giant Total together with the Chinese group CNPC, which offered $1.75 dollars per barrel and promised production of 1.405 million bpd.”