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Russian oil corporation expects payback from Iraqi oilfield investment by 2014

LUKOIL hopes 200,000 tons of crude oil is produced at West Qurna 2 before the end of 2013.

Photo ITAR-TASS/ Dmitry Rogulin

Photo ITAR-TASS/ Dmitry Rogulin

MOSCOW, August 30 (Itar-Tass) - Russia’s major oil corporation LUKOIL expected a return of up to 50% of expenses related to the development of West Qurna 2 oilfield in Iraq as early as in 2014, Leonid Fedun, a co-owner of the corporation said in the course of a telephone conference with the investors Friday.

“West Qurna 2 is currently at the peak of investment cycle and we are eyeing a gala ceremony of launching the deposit at the end of this year,” said Fedun. “We hope up to 50% of the expenses we made will return to us in 2014.”

“Early oil from the Mishrif reservoir will ensure a return of investments,” he said.

Fedun also said production of oil at the deposit is due to begin in November and LUKOIL hopes 200,000 tons of crude oil is produced at West Qurna 2 before the end of 2013.

As Itar-Tass said earlier, LUKOIL planned to begin production of oil in West Qurna in the fourth quarter of 2013.

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