Iraqi government and British energy giant bp signed a memorandum of understanding on Thursday for the rehabilitation and development of four oil fields in the country's oil-rich Kirkuk region.
As part of the deal, bp will work in the 'Kirkuk oil field, Bai Hassan, Jambur and Khabbaz oil fields with the potential for agreements on other fields or exploratory blocks, as mutually agreed upon by both parties,' according to a statement from the Iraqi Prime Minister's office.
'This initiative is part of the government's efforts to optimally invest in promising energy opportunities, aiming to increase and enhance oil production and gas and solar energy investments in the region,' the statement read.
Iraq is the second-largest crude oil producer among the Organization of Petroleum Exporting Countries (OPEC) after Saudi Arabia, ranking sixth globally in total petroleum liquids production, according to the US Energy Information Administration.
Boasting the world's fifth-largest proven crude oil reserves at 145 billion barrels, Iraq holds 17% of the Middle East's reserves and 8% of the global total.
By Handan Kazanci
Anadolu Agency
energy@aa.com.tr