Irish oil firm Petrel Resources said that it had won a contract to develop the Suba-Luhais oilfield in southern Iraq.

Petrel said in a statement the Iraqi Oil Ministry had informed the company that it was to be awarded the contract, which would be worth $197 million over three years.
The Oil Ministry has previously awarded private companies contracts that were subsequently rejected by the cabinet, which has final authority over the energy sector.
A number of firms had submitted proposals to the Iraqi Oil Ministry on raising the output of the Suba-Luhais field from 50,000 to around 200,000 barrels per day.
Petrel hopes the deal will in time lead to exploration opportunities, for which the payoff could be much greater than the development contract.
“We’re hoping that in the course of the contract period, those that are there on the ground should be on the inside track from the point of view of building an independent oil company in Iraq,” managing director David Horgan said.