Iraq says Nasiriyah-Gharraf gas project 78% complete

Summary

• Oil Ministry says the Nasiriyah and Gharraf gas investment project has reached 78% completion.
• The Dhi Qar project processes 200 million cubic feet of gas daily, the ministry says.
• It is designed to feed power stations and industrial plants while cutting flaring.

The latest

Iraq's Oil Ministry put completion of the gas investment project at the Nasiriyah and Gharraf fields at 78%, saying the scheme captures 200 million cubic feet of gas per day. Of that, 160 million cubic feet is allocated to power generation and industrial facilities, the ministry said in a statement carried by the Iraqi News Agency (INA), alongside output of liquefied petroleum gas.

Details

• The numbers: The ministry said the project captures 200 million cubic feet of gas daily and channels 160 million cubic feet of that volume to electricity plants and industrial facilities. It also produces roughly 1,450 tonnes per day of liquefied petroleum gas (LPG), according to the statement.
• The site visit: The figures were disclosed after Undersecretary for Gas Affairs Izzat Saber Ismail carried out an inspection tour of the project, accompanied by the director general of the South Gas Company and a group of officials, the ministry said.
• The location: The project draws associated gas from the Nasiriyah and Gharraf fields in Dhi Qar province in southern Iraq. Ismail described it as important for supporting national gas output and for supplying power stations and industrial plants with the volumes they require.
• The instruction: Ismail pressed for work to be completed according to the set timetables, calling for continuous tracking of completion rates and for resolving the challenges facing implementation, the statement said. The ministry did not identify what those challenges are.
• The rationale: The ministry said it attaches significant priority to gas investment projects because they increase the volume of gas captured, reduce flaring, strengthen national production and support the wider energy system.
• Not disclosed: The statement did not give a completion or start-up date for the project, nor did it name the contractors executing the work or state how much has been invested in it. No breakdown was given of how the remaining 22% of works is distributed.
• The electricity link: The ministry framed the allocation of 160 million cubic feet per day as direct support for the power grid, tying the project's progress to fuel supply for generation stations rather than to export volumes.

Background

Iraq flares a large share of the gas produced alongside its crude oil, and the Oil Ministry has made capturing that associated gas a stated priority to supply domestic power plants. The Nasiriyah and Gharraf fields sit in Dhi Qar province.

Between the lines

The ministry's own framing puts the emphasis on electricity rather than exports: 160 of the 200 million cubic feet cited go to power and industry, and the undersecretary's stated reason for urgency is supplying generation stations with required volumes. The absence of a start-up date, however, leaves the timing of that relief unstated, even as the ministry presses for adherence to set timetables.

What's next

Watch for the ministry's next completion figure above 78%, any announced commissioning date for the project, and whether the challenges Ismail referenced are specified in future statements from the South Gas Company.

Source: Iraqi News Agency (INA)