Iraq’s oil field development momentum continues to grow as the Ministry of Oil signed an agreement in principle with HKN. energy to develop the Hamrin field in northern Iraq. The deal, signed between North Oil Company (NOC) and the U.S.-based firm, seeks to boost production and utilize associated gas more efficiently.
The field currently produces 20,000–25,000 barrels per day (bpd). Under this new agreement, the partners aim to raise output to 60,000 bpd. In addition, they plan to capture and use 45–50 million standard cubic feet per day (mmscfd) of associated gas for power generation, supporting Iraq’s growing electricity demands.
Oil Minister Hayan Abdul Ghani emphasized the government’s strong commitment to partnering with trusted U.S. and Western energy firms. He called this agreement a step forward in strengthening Iraq’s oil and gas capacity. The Minister also stressed the importance of using associated gas to fuel power plants and reduce flaring.
Furthermore, Iraq’s oil field development the signing took place in the presence of ministry officials, U.S. Chargé d’Affaires Steven Fagin, and representatives from NOC and HKN Energy. Fagin welcomed the partnership and said he hopes to see more U.S. companies invest in Iraq’s energy future.
Moreover, Amer Khalil, Director General of NOC, described the agreement as the beginning of a broader development contract. The plan includes work on all wells in the field, training local engineers, and supplying gas to nearby power stations.
In addition, Matthew Zais, Vice President of HKN Energy, expressed pride in the collaboration. He confirmed the company’s intent to maximize the field’s output. Hire 80 percent Iraqi workers, and support local community projects as part of its development approach.
Earlier that day, HKN reported an explosion at its Sarsang operations in Iraqi Kurdistan, though no further details were provided.
In a separate development in May, HKN Energy and ONEX Group. Signed a binding term sheet with the Kurdistan Regional Government (KRG) to develop the Miran gas field. That venture, Miran Energy, aims to drive gas production in Kurdistan. However, tensions between the KRG and Iraq’s federal government continue to complicate joint development efforts.