Iraq’s Ministry of Oil has secured a new deal with HKN Energy to develop the Iraq Hamrin oil field. This agreement strengthens Iraq’s efforts to boost production and improve energy infrastructure across the country.
The Ministry of Oil and the North Oil Company worked closely with HKN Energy to finalize the terms. Together, they aim to raise the Hamrin field’s daily output from 25,000 barrels to 60,000 barrels. Additionally, they will capture and utilize 50 million standard cubic feet of associated gas every day for electricity generation.
However, oil Minister Hayan Abdul Ghani emphasized the importance of such partnerships. He noted that Iraq welcomes American and Western companies to help expand its energy sector. He also highlighted that using associated gas supports electricity generation and reduces waste.
The signing ceremony included key ministry officials, US Chargé d’Affaires Steven Fagin, and representatives from both companies. Fagin praised the partnership as a step toward stronger US business engagement in Iraq. He expressed confidence in Iraq’s energy potential and encouraged further investments.
Amer Khalil, director general of North Oil Company, explained the agreement’s long-term goals. He said it sets the stage for a full development contract covering all wells in the Iraq Hamrin oil field. Khalil added that the plan includes training Iraqi staff and delivering gas directly to power plants to support national electricity needs.
Matthew Zais, vice president of HKN Energy, shared the company’s vision for the project. He stressed HKN’s commitment to employing 80 percent Iraqi workers. Zais also noted their plans to invest in community development around the Hamrin region, ensuring benefits reach local residents.
Earlier on the same day, HKN reported an incident at its Sarsang operations in Iraqi Kurdistan. However, officials confirmed that it did not impact their commitment to Iraq’s oil development projects.
HKN Energy has been actively expanding its presence in Iraq. In another project, HKN and ONEX Group signed a joint venture agreement with the Kurdistan Regional Government. The new venture, called Miran Energy, will focus on developing the Miran gas field. However, disagreements continue between Baghdad and Erbil over the legality of such contracts.
The Iraq Hamrin oil field agreement reflects Iraq’s determination to increase oil and gas production. By leveraging international expertise and focusing on local employment, Iraq hopes to strengthen its energy sector and support economic growth.
This partnership shows how Iraq plans to combine foreign investment with local workforce development for long-term success. The Ministry of Oil believes such deals will improve energy supply and contribute to national stability.
