Hamrin oil field development moved forward after Iraq signed a new agreement with a US energy company to expand production at one of the country’s largest undeveloped oil fields. Officials said the project will increase crude output, capture associated gas, create jobs, and strengthen Iraq’s energy sector while attracting more international investment.
Iraq’s state-owned North Oil Company (NOC) signed the development contract on Thursday with US-based HKN Energy. The agreement covers the Hamrin oil field, which stretches across Kirkuk and Saladin provinces. Officials expect the project to reach peak crude production of 140,000 barrels per day after full development. The deal marks another step in Iraq’s efforts to expand its oil production capacity.
Oil Minister Basim Mohammed Khudair Al-Abadi said the agreement supports the government’s long-term energy strategy. Iraq aims to maximize the value of its oil and gas resources while meeting growing domestic demand. The government also seeks to increase exports and strengthen the country’s position in global energy markets. Officials believe projects like Hamrin will help achieve those goals.
The development plan also focuses on associated natural gas production. Authorities expect the field to produce around 40 million cubic feet of associated gas each day. Part of the gas will supply operational needs at the oil field. Engineers will reinject the remaining gas into the reservoir to maintain pressure instead of burning it through flaring.
The minister highlighted Iraq’s commitment to reducing gas flaring while improving energy efficiency. Capturing associated gas can also support future electricity generation and industrial development. These measures align with broader efforts to improve environmental performance across Iraq’s energy sector. Officials continue encouraging investments that combine economic growth with better resource management.
Al-Abadi also emphasized the government’s efforts to attract leading international energy companies. Iraq continues working with investors from the United States and Europe under internationally recognized standards. Officials believe foreign partnerships bring advanced technology, technical expertise, and long-term investment. They also strengthen confidence in Iraq’s energy industry.
According to the minister, the project will create employment opportunities for Iraqi workers. Local companies will also benefit by participating in construction, logistics, and support services. These activities could stimulate economic growth in Kirkuk and Saladin provinces. Officials expect the project to generate both direct and indirect economic benefits.
The ministry pledged full support for HKN Energy throughout the project’s implementation. Al-Abadi said the agreement sends a positive message to international investors. He described Iraq as an attractive destination for energy investment because of its significant natural resources and ongoing economic reforms. The government hopes similar agreements will encourage additional foreign investment.
Hamrin ranks among northern Iraq’s largest undeveloped oil fields. The Oil Ministry signed a memorandum of understanding with HKN Energy in 2025 to prepare for its development. The original plan targeted production of around 60,000 barrels per day while capturing associated gas for power generation. The new agreement significantly expands those ambitions.
The latest contract represents another milestone in Iraq’s strategy to modernize its energy sector. Officials believe stronger international cooperation will help increase production, improve energy security, and create sustainable economic opportunities. As work begins, Hamrin oil field development will remain a key project for Iraq’s oil industry. Continued investment in Hamrin oil field development could also strengthen the country’s long-term economic growth and energy exports.