Iraq has awarded a contract to China Petroleum Engineering & Construction Corporation (CPECC) for the construction of a gas processing plant in the Southern Basra governorate, the official news agency reported on Wednesday.

The cabinet, which met under Prime Minister Mohammed Al-Sudani on Tuesday, agreed to award the GPP project at Artawi field to the Chinese firm, it said.

The report did not provide details of the project but officials said last year the plant would handle gas produced from that field.

Iraq’s Oil Minister said in February it has completed the Front-End Engineering Design (FEED) phase for the Artawi gas development project.

The project, part of the $10 billion Gas Growth Integrated Project (GGIP), is located north of Al-Zubair in Basra Governorate.

 It is being developed by a consortium led by French energy giant TotalEnergies, which holds a 45 percent stake. The consortium also includes Basra Oil Company (30 percent) and QatarEnergy (25 percent).

(Writing by Nadim Kawach; Editing by Anoop Menon)

(anoop.menon@lseg.com)

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