Shell is working hard to fast-track work on its $17.2bn Basra Gas Company (BGC) associated gas joint venture, and is eyeing boosting gas processing capacity in Basra from around 400mn cfd at present to 1bn cfd by year-end.
However, Shell’s negotiations for a new plateau production target for its giant Majnoun development, currently contracted at 1.8mn b/d, are entering a critical stage, MEES learns. Baghdad’s contractual plateau targets with foreign oil companies from two upstream bidding rounds total over 10mn b/d to be attained in just seven years – a target now unanimously regarded neither viable nor desirable. (CONTINUED - 913 WORDS)
