Commissioning Ceremony of United Energy Iraq’s Faihaa Oilfield Central Processing Facility Phase 1
The commissioning ceremony of the Faihaa Oilfield Central Processing Facility (CPF) Phase 1 was held on 26 July 2024. The ceremony also marked the achievement of producing 100,000 barrels of crude oil per day.
H.E. Mr. Hayan Abdul-Ghani, Iraq Vice Prime Minister for Energy Affairs and Minister of Oil; Mr. Ji Gang, Counsellor of the Chinese Consulate General in Basra; Mr. Basim Kudair, Deputy Oil Minister; Mr. Basim Abdul-Karim, Director General of Basra Oil Company; Mr. Basim Tahir, Director General of PCLD; Mr. Song Yu, Executive President of United Energy Group (UEG); Mr. Ali Jarwan, CEO of Dragon Oil; Mr. Liu Shengcheng, Vice President of CAMCE; and officials from the Iraqi government and Faihaa Oilfield service companies, totaling nearly 500 people, attended the commissioning ceremony.
H.E. Mr. Hayan Abdul-Ghani said, "The Faihaa Oilfield is an exploration block. Production has gradually increased thanks to United Energy Group’s five years of efforts. With the successful operation of the CPF Oil Phase 1, the Faihaa Oilfield has achieved production of 100,000 barrels of oil per day (BOPD). By the end of this year, the Faihaa Oilfield will also install advanced gas processing units capable of handling 130 MMSCFD".
H.E. Mr. Hayan Abdul-Ghani praised UEG as an excellent partner for Iraq’s Ministry of Oil and hailed the CPF project as a model of cooperation and mutual benefit between Iraqi and Chinese enterprises. He emphasized that this achievement not only displays the development potential of the Faihaa Oilfield, highlighting its rich resources and economic viability but also significantly contributes to Iraq’s economy. UEG has consistently invested in the local community, demonstrating a strong commitment to corporate social responsibility.
Mr. Song Yu said, "UEG has overcome numerous challenges to achieve the record-breaking completion of the Faihaa Oilfield CPF Oil Phase 1 project, reflecting the excellent management experience and advanced engineering capabilities of UEG and its contractor CAMCE." He further stated, "The Faihaa Oilfield has achieved stable operations and production growth for five consecutive years. The unwavering trust and support of the Iraqi government, partner companies, and contractors serve as a strong driving force for UEG to deepen its presence in Iraq. UEG will continue to inject new momentum into the Iraqi energy sector."
Subsequently, H.E. Mr. Hayan Abdul-Ghani, on behalf of the Ministry of Oil, presented the Excellent Contribution Award to UEG.
After the ceremony, H.E. Mr. Hayan Abdul-Ghani and his delegation visited the CPF central control room and production area, where they were briefed on production operations and ongoing projects at the Faihaa Oilfield. While affirming the current achievements, H.E. Mr. Hayan Abdul-Ghani also encouraged the UEG team to overcome difficulties and strive to complete the commissioning of the CPF Gas Phase 1 project by the end of this year.
The Faihaa Oilfield CPF Phase 1 is a consortium led by CAMCE with a daily crude oil processing capacity of 100,000 barrels and a daily associated gas processing capacity of 130 million standard cubic feet. The CPF Oil Phase 1 began operations on 27 April 2024, after 25 months of construction. It achieved 13 million safe working hours and reached the milestone of producing 100,000 BOPD on 26 July, meeting the Phase 1 development goal.
As a key project undertaken by UEG under the Belt and Road Initiative, the CPF project is greatly valued and received substantial guidance from Mr. Zhang Hongwei, UEG’s Chairman. UEG’s Chairman emphasized that the project embodies Chinese enterprises' pioneering spirit in overcoming challenges and innovating and exemplifies excellent teamwork and unity among all parties involved.
The Faihaa Oilfield CPF Gas Phase 1 project, undertaken by UEG, will also soon be operational, marking a significant milestone in the effective use of natural gas and ensuring energy security in Iraq.