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Oil Minister Hayan Abdul Ghani said on Wednesday that Iraq and Total (EPA:TTEF) Energize expect to start a much-delayed $27 billion project within the next two weeks.
He added at a conference in Baghdad that he expects that five-way agreements related to the deal will be signed within the next two weeks, paving the way for the start of implementation.
The deal was signed in 2021, under which Total Energies will build four oil, gas and renewable energy projects with an initial investment of $10 billion in southern Iraq over 25 years, but it was delayed amid disputes between Iraqi politicians over the terms.
Iraq said last month it had agreed to take a small 30 percent stake in the project, reviving the deal that Baghdad hopes will re-attract foreign investment to a country enjoying relative stability after years of conflict and tension.
Qatar Energy will also own a stake in the project.
"We can confirm that discussions are progressing," a Total Energies spokesman said.
Patrick Pouyanne, CEO of Total Energies, said last week that the two parties had reached an agreement on Iraq's share in the project.
"I think it's a good arrangement that we've finished all the paperwork," Pouyanne said on a call with shareholders last week, during which he reviewed the company's first-quarter results.
Pouyanne added, "The government of Iraq approved the entire contract, with no amendment whatsoever... So for me that was more than good news."
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