The move comes as western energy companies reassess their operations in Iraq amid political turmoil, following months of anti-government protests and a flare-up in tensions between the United States and Iran in the country.
BP informed Iraqi authorities last month that it was pulling its staff out of the oil field in the north of the country after its 2013 service contract expired at the end of 2019, the sources familiar with the matter said.
BP had an agreement with the Iraqi government worthing $100 million to expand the Kirkuk oil field and let the Baghdad government generate a larger revenue from tripled production at the field.
The agreement expired last December and the BP was reluctant to renew the deal with the outcomes of its studies at the oilfield.
An official at Iraq’s North Oil Company (NOC) confirmed BP’s decision to pull out, saying that it was “obvious” that the study results were not “encouraging for BP to extend its operations”, the report added.
The British giant firm said in a statement: “In 2013, BP signed a letter of intent with the NOC of the Iraq Ministry of Oil to support field activity studies in Kirkuk. As planned, in December 2019 BP completed field work, studies and recommendations.”
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