Iraqi oil firm Missan has commenced work on a new well located around 40km east of Amara, the firm's information director Ali Abbas Sadeq has told Aswat al-Iraq.

He confirmed that workers began digging at the al-Halfaya field yesterday (April 26th). The field comprises three wells which produce between 40,000 barrels per day and 110,000 barrels per day.

"The project is part of a new plan by the company to maximise production of oil. There are other plans to dig ten new wells in al-Halfaya between 2009 and 2010," said Mr Sadeq.

He estimated the untapped potential of the Halfaya field at around six billion barrels, which would make it one of the most lucrative fields in the oil-rich state.

International Oil Daily reports that Missan has control of around a dozen fields in the province, all of which are being offered to foreign firms interested in development.

In 2004, Shell and BHP Billiton entered into an agreement with the company to begin offering training and support services for workers serving the region's oil and gas industry.

Written by Kim Bardsley.

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