Iraq said on Sunday (20th January, 2013) that it has discovered deposits of crude equal to one billion barrels of oil after the first exploration work by state-owned companies in almost 30 years.
The deposits were found after exploration in Maysan province, in southern Iraq near by the border with Iran, and could potentially make an important addition to Baghdad’s already substantial reserves.
Assem Jihad, who is the oil ministry spokesman told to the media Exploration began in Maysan, south of (provincial capital) Amara last year.
It now completed 100 % and achieved a big success.
The initial appraisal from this discovery is about one billion barrels of oil, he said, adding it will increase output capability for (state-owned) Maysan Oil Company.
Jihad also stated that the state-owned oil exploration firm had been carrying out its first exploration work inside Iraq in nearly three decades.
Iraq is heavily dependent on oil sales for government profit, has sought in recent years to dramatically ramp up output and exploration for helping to reconstruct its conflict-battered economy and infrastructure.
The country has proven the reserves of 143.1 billion barrels of oil and 3.2 trillion cubic meters (111.9 trillion cubic feet) of gas, both of which are amongst the biggest in the world.
Source: [Economic Times]