French oil company TotalEnergies, alongside its partners Basra Oil Company and QatarEnergy, has commenced the construction of ArtawiGas25, a new gas processing facility in the Basra region of Iraq, with an investment of around $250m (€244.67m).
ArtawiGas25 is designed to process 50mcf/d of associated gas from the Ratawi field, which was previously flared. It is expected to “significantly” reduce gas flaring at the field.
The processed gas will be supplied to local power plants, meeting the energy needs of approximately 200,000 households in the Basra area.
This facility is a key component of the Gas Growth Integrated Project (GGIP), a $10bn multi-energy initiative launched in September 2021 to bolster Iraq’s natural resource development and electricity supply.
The GGIP project encompasses four key elements: the recovery and utilisation of flared gas; the redevelopment of the Ratawi oil field; the establishment of a 1GW alternating current (1.25GW peak), solar farm, and the construction of a seawater treatment plant.
The first phase includes the development of a large-scale gas processing plant capable of handling 300mcf/d of gas currently flared at three oilfields. It will supply gas to support 1.5GW of electricity generation capacity.
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By GlobalDataTotalEnergies Exploration & Production Middle East & North Africa senior vice-president Julien Pouget said: “We are very pleased to launch the ArtawiGas25 project. It will give the Iraqi people a tangible insight into the benefits of the GGIP, which will provide more energy with less emissions.
“Through this project, TotalEnergies is demonstrating its capacity to deliver valuable and fast-track solutions in accordance with the government’s expectations and the country’s electricity needs. We look forward to the next GGIP milestones in the coming weeks with the start of construction of the 1GW solar project.”
The ArtawiGas25 gas facility is due to begin operations by the end of this year. Its modular design also presents the opportunity for similar applications across other oilfields in Iraq.
The project is expected to create up to 160 direct and indirect jobs for Iraqi nationals during the construction phase and 30 jobs during the operational phase.