Iraqs Oil Exploration Company Secures Seismic Survey Contract with Chinas ZhenHua Oil for Abu Khaimah Field

Iraq’s Oil Exploration Company (OEC) announced on 15 July 2026 that it has signed a contract with China’s ZhenHua Oil to conduct seismic survey operations for the Abu Khaimah programme in Al‑Muthanna Governorate. The ceremony, held in Baghdad, was attended by Minister of Oil Basim Mohammed Khudair, Deputy Minister for Extraction Affairs Naseer Aziz and OEC Director General Dr Osama Raouf Hussein.

The agreement, a key element of Iraq’s Fifth‑Annex and Sixth Licensing Rounds, expands seismic coverage across the country. Under the contract, ZhenHua Oil will deploy state‑of‑the‑art seismic equipment to map geological structures in the Abu Khaimah area. The data produced is expected to sharpen exploration models, identify viable drilling targets and ultimately support the development of new oil fields and exploration blocks.

OEC described the deal as a milestone for Iraq’s exploration sector, underscoring its commitment to partnering with specialized global firms. The partnership is also intended to transfer modern technologies and expertise to Iraqi personnel, thereby upgrading the technical capabilities of national cadres. According to OEC, the agreement aligns with Iraq’s long‑term plans to improve exploration efficiency, strengthen technical capacity and increase the use of advanced seismic technologies.

The Ministry of Oil’s focus on expanding upstream development is reinforced by the contract. By bringing in a state‑owned Chinese firm with proven experience in Iraq, the ministry aims to enhance the data foundation required for future field and block development. The Abu Khaimah programme is one of several projects under the licensing rounds that seek to attract international expertise while maintaining Iraqi control over exploration activities.

ZhenHua Oil, a subsidiary of the Chinese state‑owned defence contractor Norinco, has been active in Iraq for several years. Its involvement in the Abu Khaimah survey follows earlier Chinese participation in Iraqi exploration, including a 2025 partnership that halted Russian oil purchases due to sanctions. The company’s experience in deploying seismic technology in challenging environments was cited as a key factor in its selection.

Implementation of the contract is slated for the coming months, with seismic data collection scheduled to begin in the first quarter of 2027. OEC will oversee the project’s execution and coordinate with the Ministry of Oil to ensure compliance with national regulations. The data produced will be used by Iraqi geologists and engineers to refine exploration models and pinpoint potential drilling targets.

In a broader context, Iraq’s oil sector has been undergoing a series of licensing rounds aimed at attracting foreign investment while retaining sovereign control. The Fifth‑Annex and Sixth Licensing Rounds are part of a strategy to diversify exploration partners and adopt advanced technologies. The Abu Khaimah survey is one of several initiatives designed to increase Iraq’s oil output and reduce dependence on imported technology.

The partnership also reflects Iraq’s ongoing efforts to strengthen ties with China in the energy sector. China has been a major investor in Iraqi oil infrastructure, and the recent contract adds to a growing portfolio of Chinese‑Iraqi energy projects. The collaboration is expected to enhance Iraq’s technical capacity and support the country’s goal of achieving higher domestic production levels.

The next steps involve the formal signing of the technical and commercial terms, followed by the mobilization of seismic equipment to Al‑Muthanna. OEC will coordinate with local authorities to secure necessary permits and ensure that the survey complies with environmental and safety standards. The ministry has indicated that the data will be shared with Iraqi exploration teams to inform future drilling decisions.

The contract represents a concrete step toward Iraq’s broader objective of expanding upstream development and strengthening its data foundation for future exploration. With the involvement of a seasoned international partner, the Abu Khaimah seismic survey is positioned to contribute significantly to Iraq’s oil production ambitions.