By Hassan Hafidh
Iraq's oil ministry Monday initialed a deal with Kuwait
Energy-led group to explore for gas and oil at an exploration block
in southern Iraq, an Iraqi oil ministry official said.
The initial contract was signed in Baghdad by head of the PCLD
Abdul Mahdy al-Ameedi for Iraq and a senior executive for Kuwait
Energy.
The contract, however, is pending the approval of the
government, the official said.
Kuwait Energy and its partners state-owned Turkish Petroleum
Corp., or TPAO, and United Arab Emirates-based Dragon Oil PLC
(DRS.DB) were awarded Block 9 located in Basra near the Iranian
border at the country's fourth bidding round held in May this
year.
Baghdad signed Sunday a deal with Pakistan Petroleum to explore
Block 8 located in Diyala and Wasit governorates in central Iraq.
Russia's OAO Lukoil Holdings (LKOH-RS) and its partners will sign
Block 10 Tuesday July 17.
Kuwait Energy has a 40% stake in the consortium, Dragon Oil, and
Turkey's TPAO, have 30% each.
Write to Hassan Hafidh at hassan.hafidh@dowjones.com