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Shell yesterday won the rights to an Iraqi oil field that is among the biggest in the world.
But security fears appeared to stop other petroleum firms bidding for another 14 fields put up for auction by Iraq’s government.
The 12.8billion-barrel Manjoon field near Basra will be drilled by a partnership between Shell and Malaysia’s Petronas Carigali, which hopes to raise production from 45,900 barrels a day to 1.8million.
Drilling risk: Iraqi oil fields (above) have plenty new oil but face terror attacks
The Iraqi government will pay the pair US$1.39 for every barrel produced.
A second consortium led by China National Petroleum Corporation won the rights to the Halfaya field, also in the south of the country.
But the security situation, including a wave of attacks across Baghdad earlier this week which killed at least 127 people, dampened the enthusiasm of bidding oil companies.
Five of the fields up for auction in unstable parts of the country were withdrawn and another attracted a single bid.
Oil minister Hussain al-Shahristani said: ‘We were expecting that some companies would consider the security situation.’
In a June, a BP-led consortium won rights to the Rumaila field which holds 17.8billion barrels.
