Chevron Corp. signed preliminary agreements with the state-owned Basra Oil Company to explore taking control of the West Qurna 2 oil field. This framework deal establishes a period of exclusive negotiations and allows for the exchange of confidential data. West Qurna 2 currently ranks as Iraq's second-largest oil field.
Russia’s Lukoil PJSC currently operates the project with a 75% stake. Lukoil faces a February 28 deadline to divest assets under U.S. sanctions.
The potential acquisition represents a significant expansion of Chevron's presence in Iraq. Finalization of the deal requires approval from Iraq’s Council of Ministers. The project also remains subject to authorization from the U.S. Office of Foreign Assets Control (OFAC).