TotalEnergies and Iraq agreed to discuss energy projects, Reuters reported. CEO Patrick Pouyanné said the company’s Iraqi oil-and-gas investments are valued at $12 billion and it intends to raise them to $16 billion.
TotalEnergies has a 45% stake in the roughly $10 billion Gas Growth Integrated Project, which includes oil, gas, solar power and seawater treatment; all four components are in execution. At a Paris meeting, Iraqi Prime Minister Ali al-Zaidi discussed plans to raise Iraq’s oil output to 10 million barrels a day within five years. TotalEnergies expects full development of the Ratawi field to reach 210,000 barrels a day.
No value, timetable, production target or earnings and cash-flow contribution was given for the potential new projects. The article cites execution and geopolitical risks amid conflict and ongoing supply disruptions. On TotalEnergies’ Q2 earnings call, Pouyanné said the risks of crossing the Strait of Hormuz were extremely high and that the strait was opening on and off.
