AMMAN --Representatives of a Japanese consortium led by
Nippon Oil Corp. couldn't meet Sunday with Iraqi Oil Ministry
officials to finalize a deal to develop Nassiriyah oil field in
southern Iraq due to traffic jams in Baghdad, a senior Iraqi oil
official said.
Abdul Mahdy al-Ameedi, deputy director general at the Oil
Ministry's Petroleum Contracts and Licensing Directorate, said the
scheduled meeting was postponed until Monday.
"The Nippon delegation couldn't make it on time for the
meeting due to Baghdad traffic contingency," Ameedi told Dow Jones
Newswires by telephone from Baghdad.
Nippon, which is teaming up with Japan's Inpex Corp.
(1605.TO) and JGC Corp. (1963.TO), would invest up to $8 billion to
take output from the field to 200,000 barrels a day in 24 months of
development, from the current 20,000 barrels a day.
Italy's Eni SpA (E), which was also pursuing the project,
last month said it was unlikely to bid for the project. Eni is to sign
an initial agreement with Baghdad Monday to develop another Iraqi oil
field, Zubair in the south.
Iraq is aiming to sign engineering, procurement and
construction contracts to develop the Nassiriyah field, which is
located in the Dhi Qar governorate and has estimated proven reserves of
4.4 billion barrels. The field isn't included in the government's two
oil and gas bidding rounds.