Iraq clears Sinopec access to Kurdish oilfields

Chinese newspapers report purchase approval of Addax Petroleum

Reports have suggested that Oil Minister Hussain Shahristani wants the second-round auction for Iraqi fields to be concluded this year.
Reports have suggested that Oil Minister Hussain Shahristani wants the second-round auction for Iraqi fields to be concluded this year.

A Chinese newspaper has reported that Iraq has given the green light to Sinopec’s takeover of oil rights in northern Iraq.

Citing an unnamed Sinopec official, the Chinese Business News reported that Iraqi authorities had recognised Swiss firm Addax Petroleum’s development of the Taq Taq oil field in Kurdistan. In June, Sinopec bought Addax for US $7.2 billion in China’s largest ever overseas purchase.

However, Iraq’s Oil Ministry said earlier this week that Sinopec could be disqualified from new tenders if the Addax deal was finalised.

"We sent a letter to Sinopec...If it confirms the purchase of Addax, we would consider blacklisting it," Iraq's Deputy Oil Minister Abdul Kareem al-Leaby was quoted as saying by Dow Jones Newswires.

Recent reports have suggested that Oil Minister Hussain Shahristani wants the second-round auction for Iraqi oil and gas fields to be concluded by December.

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