ConocoPhillips to acquire 42% stake in BP's Iraq unit, returning to Kirkuk oilfields

Published Jul 17, 05:30 PM UTC

ConocoPhillips has agreed to acquire a 42% stake in BP's development subsidiary covering four major oilfields in Iraq's Kirkuk region, marking its return to Iraq after over a decade. The partnership aims to rehabilitate and optimize production at a cost of approximately $25 billion, targeting an initial phase to extract over 3 billion barrels of oil equivalent. The deal aligns with Baghdad's strategy to expand U.S. energy investments and counter the dominant presence of Chinese firms. The century-old Kirkuk field, discovered in 1927, currently produces between 285,000 and 330,000 barrels per day, largely for domestic consumption. Exports via the Kirkuk-Ceyhan pipeline to Turkey resumed in March 2026 after a three-year suspension. Iraq is also pursuing alternative export routes, including a proposed pipeline through Syria to the Mediterranean.