Chevron to sign MOUs with Iraq for West Qurna 2 and Nassiriya oilfields

• West Qurna 2, one of the world's largest oilfields, currently produces about 460,000 barrels per day; Chevron entered exclusive talks for the field in February
• The MOUs will progress commercial terms toward a final takeover agreement for West Qurna 2 and advance the Nassiriya project covering four exploration blocks
• Chevron is also discussing potential pipeline routes with Iraq to transport crude oil while bypassing the Strait of Hormuz

Summary

Key Development:

Chevron will sign memorandums of understanding (MOUs) with Iraq on Friday to advance its interests in two major Iraqi oilfields: West Qurna 2 and Nassiriya. The announcement follows Iraqi Prime Minister Ali al-Zaidi's five-day U.S. visit, including meetings with President Donald Trump and a visit to Chevron's Houston headquarters.

West Qurna 2 Oilfield:

• Currently produces approximately 460,000 barrels per day
• Ranks among the world's largest oilfields
• Chevron entered exclusive negotiations in February for potential takeover
• Friday's preliminary agreement will advance commercial terms toward a final acquisition deal

Nassiriya Oilfield:

• Chevron and Iraq signed an agreement in principle in August (previous year)
• Project encompasses four exploration blocks plus development of other producing fields

Strategic Infrastructure:

Chevron is discussing alternative pipeline routes with Iraq to transport crude oil while bypassing the Strait of Hormuz, a critical shipping chokepoint. The company will continue producing technical studies to evaluate these routing options.

Market Context:

Iraq is actively seeking U.S. partnerships to boost national oil output, positioning these deals as part of broader efforts to enhance production capacity and secure strategic relationships with American energy companies.

Companies Involved:

• Chevron Corporation (primary)
• Iraqi government/state oil entities

The agreements represent significant potential expansion of Chevron's Middle Eastern operations and could materially impact global oil supply chains if alternative export routes are established.