An oil field in the Dibis area on the outskirts of Kirkuk, Iraq. Reuters
An oil field in the Dibis area on the outskirts of Kirkuk, Iraq. Reuters
An oil field in the Dibis area on the outskirts of Kirkuk, Iraq. Reuters
An oil field in the Dibis area on the outskirts of Kirkuk, Iraq. Reuters


BP back to the future at Kirkuk


  • English
  • Arabic

March 31, 2025

Almost a century ago, on October 15, 1927, the forerunner of BP struck oil at Kirkuk in northern Iraq. An uncontrollable fountain of oil, 95,000 barrels per day, shot into the air for 10 days, threatening to flood into the Tigris River.

Now, the British oil company is returning to Kirkuk, shifting the balance of power within the Iraqi oil industry, and potentially within Opec.

The famed Baba Gurgur discovery well was drilled by the Turkish Petroleum Company, soon to be renamed the Iraq Petroleum Company (IPC). This was a consortium of Anglo-Persian (called BP from 1954), Shell, French and American corporations, and oil tycoon and dealmaker Calouste Gulbenkian, founder of the famed museum in Lisbon. As its name suggests, Anglo-Persian was already the Middle East expert, having pioneered the Iranian oil industry.

Kirkuk turned out to be one of the world’s greatest oilfields. As you fly into Erbil, its vast, 105-kilometre long geological structure is clearly visible. Original reserves were up to 25 billion barrels, a quarter of the UAE’s whole reserves today. Along with Iran, and shortly afterwards, the first discoveries in Kuwait and Saudi Arabia, it showed that the centre of world oil would shift decisively from the US and Caribbean to the Middle East.

Three more major fields were discovered in the area: Bai Hassan in 1953, Jambur in 1954 and Khabbaz in 1976. At its height, Kirkuk yielded 1.4 million bpd. The IPC consortium profited from this bounty, but faced endless problems in avoiding flooding the market, as through the 1960s, Iran, Saudi Arabia and the other Middle Eastern producers clamoured for higher production from their fields.

The area’s oil brought profound political consequences: economic development, revolution, nationalisation and repression. Demographics shifted between the Kurdish, Turkmen and Arab communities, first from job seekers, then from heavy-handed efforts from Baghdad at ethnic engineering.

Only in the 1970s, with the expansion of the supergiant Rumaila field near Basra, would the centre of gravity of the Iraqi oil industry shift to the south. In 1972, the international companies were kicked out, followed by more than two decades of war from 1980, sanctions and isolation. Several foreign oil corporations returned to the southern fields from 2009 onwards, including BP in Rumaila, but they have been unhappy with the tight margins on offer.

BP made several attempts to negotiate a deal for Kirkuk, starting in 2011, but was stymied by Baghdad’s bureaucratic deadlock, and by the threat of the extremist group ISIS. Now, it is finally back.

This is a crucial project for the company. Just over a year into his tenure, chief executive Murray Auchincloss needs to show results. BP has been struggling with a weak share price and high debt. Shareholder scepticism over its energy transition plans made it a target for activist investor Elliott, and its strategic reset, revealed in February, was received tepidly. It is vulnerable to a takeover approach by compatriot Shell or another buyer.

In November, Mr Auchincloss told the Adipec conference in Abu Dhabi that, “we’re headed back to our roots here in the Middle East”. As well as Rumaila, the company has a strong position in Abu Dhabi, Oman and Egypt, and provides technical advice in Kuwait. Along with the US, the Middle East is one of its two foundations.

It will spend more than $25 billion during the course of the project in Kirkuk to boost production to 420,000 bpd from the current 300,000 bpd, capture and treat 400 million cubic feet per day of associated gas, and build a power station and solar power.

Iraq's Prime Minister Mohammed Shia al-Sudani (back-C) attends the signing of the Kirkuk oilfield development contract with BP in the presence of Iraq's Oil Minister Hayan Abdul-Ghani (R) and BP's chief executive Murray Auchincloss in Baghdad. AFP
Iraq's Prime Minister Mohammed Shia al-Sudani (back-C) attends the signing of the Kirkuk oilfield development contract with BP in the presence of Iraq's Oil Minister Hayan Abdul-Ghani (R) and BP's chief executive Murray Auchincloss in Baghdad. AFP

With at least seven billion barrels of oil reserves remaining, Kirkuk still has plenty of life in it. The initial phase of this contract will produce three billion barrels. This will require some hard work on the field’s challenges: ageing and war-damaged facilities, exceptionally complicated reservoir geology, and a tumultuous century-long production history which has involved injection at various times of water, gas and surplus fuel oil.

The British company says it anticipates resources in the wider contract area of up to 20 billion barrels of oil equivalent, probably a mix of gas capture, improved recovery from the existing fields, and new exploration potential.

Kirkuk’s future is important for Iraqi politics, too. The oil industry in the predominantly Sunni north has been rather neglected, compared to the intense activity around Shiite-dominated Basra. But the BP deal, along with recent contract awards to Sharjah-based Crescent Petroleum nearby, could partly rebalance that. Iraq needs gas to fill its electricity deficit, and crude for its northern refineries.

The government wants to reconstruct the oil pipeline from Kirkuk to Turkey, that was destroyed by ISIS, giving it an alternative to the Gulf ports, or the use of the pipeline running through the semi-autonomous Kurdistan region.

Khurmala, the northernmost part of the Kirkuk field, is controlled by the Kurdistan regional authorities. It is now Iraqi Kurdistan’s leading producing field, operated by Kar Group, headed by leading Kurdish businessman Baz Karim. The BP deal further asserts federal authority, following Baghdad’s retaking of Kirkuk in October 2017, and the closure since March 2023 of Kurdistan’s export route through the Turkish pipeline.

Finally, success at Kirkuk matters for Opec. Iraq has been repeated blamed by its colleagues in the Vienna organisation for overproducing. Its oil ministry said last Sunday that it plans to raise its production capacity above 6 million bpd by 2029. With current output around 4.4 million bpd, including from the semi-autonomous Iraqi Kurdistan region, the work at Kirkuk will be an important part of this gain.

Other Opec+ countries have to recover their production cuts, and the UAE, in particular, also has plans for major gains in capacity. As the saying has it, you can’t pour a quart into a pint pot. Iraq’s growth will either fall short, or Opec+ will need another messy compromise. If not, Iraq will flood the world oil market like Kirkuk nearly flooded the Tigris a century ago.

Robin M Mills is chief executive of Qamar Energy, and author of The Myth of the Oil Crisis

TICKETS

Tickets start at Dh100 for adults, while children can enter free on the opening day. For more information, visit www.mubadalawtc.com.

The biog

Favourite books: 'Ruth Bader Ginsburg: A Life' by Jane D. Mathews and ‘The Moment of Lift’ by Melinda Gates

Favourite travel destination: Greece, a blend of ancient history and captivating nature. It always has given me a sense of joy, endless possibilities, positive energy and wonderful people that make you feel at home.

Favourite pastime: travelling and experiencing different cultures across the globe.

Favourite quote: “In the future, there will be no female leaders. There will just be leaders” - Sheryl Sandberg, COO of Facebook.

Favourite Movie: Mona Lisa Smile 

Favourite Author: Kahlil Gibran

Favourite Artist: Meryl Streep

Greatest Royal Rumble results

John Cena pinned Triple H in a singles match

Cedric Alexander retained the WWE Cruiserweight title against Kalisto

Matt Hardy and Bray Wyatt win the Raw Tag Team titles against Cesaro and Sheamus

Jeff Hardy retained the United States title against Jinder Mahal

Bludgeon Brothers retain the SmackDown Tag Team titles against the Usos

Seth Rollins retains the Intercontinental title against The Miz, Finn Balor and Samoa Joe

AJ Styles remains WWE World Heavyweight champion after he and Shinsuke Nakamura are both counted out

The Undertaker beats Rusev in a casket match

Brock Lesnar retains the WWE Universal title against Roman Reigns in a steel cage match

Braun Strowman won the 50-man Royal Rumble by eliminating Big Cass last

Key facilities
  • Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
  • Premier League-standard football pitch
  • 400m Olympic running track
  • NBA-spec basketball court with auditorium
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Jigra
Director: Vasan Bala
Starring: Alia Bhatt, Vedang Raina, Manoj Pahwa, Harsh Singh
Rated: 3.5/5
Tearful appearance

Chancellor Rachel Reeves set markets on edge as she appeared visibly distraught in parliament on Wednesday. 

Legislative setbacks for the government have blown a new hole in the budgetary calculations at a time when the deficit is stubbornly large and the economy is struggling to grow. 

She appeared with Keir Starmer on Thursday and the pair embraced, but he had failed to give her his backing as she cried a day earlier.

A spokesman said her upset demeanour was due to a personal matter.

Pharaoh's curse

British aristocrat Lord Carnarvon, who funded the expedition to find the Tutankhamun tomb, died in a Cairo hotel four months after the crypt was opened.
He had been in poor health for many years after a car crash, and a mosquito bite made worse by a shaving cut led to blood poisoning and pneumonia.
Reports at the time said Lord Carnarvon suffered from “pain as the inflammation affected the nasal passages and eyes”.
Decades later, scientists contended he had died of aspergillosis after inhaling spores of the fungus aspergillus in the tomb, which can lie dormant for months. The fact several others who entered were also found dead withiin a short time led to the myth of the curse.

MATCH INFO

Champions League quarter-final, first leg

Tottenham Hotspur v Manchester City, Tuesday, 11pm (UAE)

Matches can be watched on BeIN Sports

THE SIXTH SENSE

Starring: Bruce Willis, Toni Collette, Hayley Joel Osment

Director: M. Night Shyamalan

Rating: 5/5

Benefits of first-time home buyers' scheme
  • Priority access to new homes from participating developers
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The specs: Aston Martin DB11 V8 vs Ferrari GTC4Lusso T

Price, base: Dh840,000; Dh120,000

Engine: 4.0L V8 twin-turbo; 3.9L V8 turbo

Transmission: Eight-speed automatic; seven-speed automatic

Power: 509hp @ 6,000rpm; 601hp @ 7,500rpm

Torque: 695Nm @ 2,000rpm; 760Nm @ 3,000rpm

Fuel economy, combined: 9.9L / 100km; 11.6L / 100km

The specs

Engine: 2.0-litre 4-cylturbo

Transmission: seven-speed DSG automatic

Power: 242bhp

Torque: 370Nm

Price: Dh136,814

 


 

Company name: Play:Date

Launched: March 2017 on UAE Mother’s Day

Founder: Shamim Kassibawi

Based: Dubai with operations in the UAE and US

Sector: Tech 

Size: 20 employees

Stage of funding: Seed

Investors: Three founders (two silent co-founders) and one venture capital fund

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Our family matters legal consultant

Name: Hassan Mohsen Elhais

Position: legal consultant with Al Rowaad Advocates and Legal Consultants.

The specs

AT4 Ultimate, as tested

Engine: 6.2-litre V8

Power: 420hp

Torque: 623Nm

Transmission: 10-speed automatic

Price: From Dh330,800 (Elevation: Dh236,400; AT4: Dh286,800; Denali: Dh345,800)

On sale: Now

ELIO

Starring: Yonas Kibreab, Zoe Saldana, Brad Garrett

Directors: Madeline Sharafian, Domee Shi, Adrian Molina

Rating: 4/5

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From: Ras Al Khaimah

Age: 50

Profession: Electronic engineer, worked with Etisalat for the past 20 years

Hobbies: 'Anything that involves exploration, hunting, fishing, mountaineering, the sea, hiking, scuba diving, and adventure sports'

Favourite quote: 'Life is so simple, enjoy it'

Children who witnessed blood bath want to help others

Aged just 11, Khulood Al Najjar’s daughter, Nora, bravely attempted to fight off Philip Spence. Her finger was injured when she put her hand in between the claw hammer and her mother’s head.

As a vital witness, she was forced to relive the ordeal by police who needed to identify the attacker and ensure he was found guilty.

Now aged 16, Nora has decided she wants to dedicate her career to helping other victims of crime.

“It was very horrible for her. She saw her mum, dying, just next to her eyes. But now she just wants to go forward,” said Khulood, speaking about how her eldest daughter was dealing with the trauma of the incident five years ago. “She is saying, 'mama, I want to be a lawyer, I want to help people achieve justice'.”

Khulood’s youngest daughter, Fatima, was seven at the time of the attack and attempted to help paramedics responding to the incident.

“Now she wants to be a maxillofacial doctor,” Khulood said. “She said to me ‘it is because a maxillofacial doctor returned your face, mama’. Now she wants to help people see themselves in the mirror again.”

Khulood’s son, Saeed, was nine in 2014 and slept through the attack. While he did not witness the trauma, this made it more difficult for him to understand what had happened. He has ambitions to become an engineer.

Labour dispute

The insured employee may still file an ILOE claim even if a labour dispute is ongoing post termination, but the insurer may suspend or reject payment, until the courts resolve the dispute, especially if the reason for termination is contested. The outcome of the labour court proceedings can directly affect eligibility.


- Abdullah Ishnaneh, Partner, BSA Law 

Skewed figures

In the village of Mevagissey in southwest England the housing stock has doubled in the last century while the number of residents is half the historic high. The village's Neighbourhood Development Plan states that 26% of homes are holiday retreats. Prices are high, averaging around £300,000, £50,000 more than the Cornish average of £250,000. The local average wage is £15,458. 

Specs

Engine: Dual-motor all-wheel-drive electric

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The National's picks

4.35pm: Tilal Al Khalediah
5.10pm: Continous
5.45pm: Raging Torrent
6.20pm: West Acre
7pm: Flood Zone
7.40pm: Straight No Chaser
8.15pm: Romantic Warrior
8.50pm: Calandogan
9.30pm: Forever Young

RESULTS

6.30pm: Al Maktoum Challenge Round-1 Group 1 (PA) Dh119,373 (Dirt) 1,600m
Winner: Brraq, Adrie de Vries (jockey), Jean-Claude Pecout (trainer)

7.05pm: Handicap (TB) Dh102,500 (D) 1,200m
Winner: Taamol, Connor Beasley, Ali Rashid Al Raihe.

7.40pm: Handicap (TB) Dh105,000 (Turf) 1,800m
Winner: Eqtiraan, Connor Beasley, Ali Rashid Al Raihe.

8.15pm: UAE 1000 Guineas Trial (TB) Dh183,650 (D) 1,400m
Winner: Soft Whisper, Pat Cosgrave, Saeed bin Suroor.

9.50pm: Handicap (TB) Dh105,000 (D) 1,600m
Winner: Hypothetical, Mickael Barzalona, Salem bin Ghadayer.

9.25pm: Handicap (TB) Dh95,000 (T) 1,000m
Winner: Etisalat, Sando Paiva, Ali Rashid Al Raihe

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KEY%20DATES%20IN%20AMAZON'S%20HISTORY
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MANDOOB
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Liz%20Truss
%3Cp%3EMinisterial%20experience%3A%20Current%20Foreign%20Secretary.%0D%3Cbr%3E%0DWhat%20did%20she%20do%20before%20politics%3F%20Worked%20as%20an%20economist%20for%20Shell%20and%20Cable%20and%20Wireless%20and%20was%20then%20a%20deputy%20director%20for%20right-of-centre%20think%20tank%20Reform.%0D%3Cbr%3E%0DWhat%20does%20she%20say%20on%20tax%3F%20She%20has%20pledged%20to%20%22start%20cutting%20taxes%20from%20day%20one%22%2C%20reversing%20April's%20rise%20in%20National%20Insurance%20and%20promising%20to%20keep%20%22corporation%20tax%20competitive%22.%3C%2Fp%3E%0A
Specs

Engine: 51.5kW electric motor

Range: 400km

Power: 134bhp

Torque: 175Nm

Price: From Dh98,800

Available: Now

How to get exposure to gold

Although you can buy gold easily on the Dubai markets, the problem with buying physical bars, coins or jewellery is that you then have storage, security and insurance issues.

A far easier option is to invest in a low-cost exchange traded fund (ETF) that invests in the precious metal instead, for example, ETFS Physical Gold (PHAU) and iShares Physical Gold (SGLN) both track physical gold. The VanEck Vectors Gold Miners ETF invests directly in mining companies.

Alternatively, BlackRock Gold & General seeks to achieve long-term capital growth primarily through an actively managed portfolio of gold mining, commodity and precious-metal related shares. Its largest portfolio holdings include gold miners Newcrest Mining, Barrick Gold Corp, Agnico Eagle Mines and the NewMont Goldcorp.

Brave investors could take on the added risk of buying individual gold mining stocks, many of which have performed wonderfully well lately.

London-listed Centamin is up more than 70 per cent in just three months, although in a sign of its volatility, it is down 5 per cent on two years ago. Trans-Siberian Gold, listed on London's alternative investment market (AIM) for small stocks, has seen its share price almost quadruple from 34p to 124p over the same period, but do not assume this kind of runaway growth can continue for long

However, buying individual equities like these is highly risky, as their share prices can crash just as quickly, which isn't what what you want from a supposedly safe haven.

Things Heard & Seen

Directed by: Shari Springer Berman, Robert Pulcini

Starring: Amanda Seyfried, James Norton

2/5

MISSION: IMPOSSIBLE – FINAL RECKONING

Director: Christopher McQuarrie

Starring: Tom Cruise, Hayley Atwell, Simon Pegg

Rating: 4/5

Signs%20of%20%20%20%20%20%20%20heat%20stroke
%3Cul%3E%0A%3Cli%3EThe%20loss%20of%20sodium%20chloride%20in%20our%20sweat%20can%20lead%20to%20confusion%20and%20an%20altered%20mental%20status%20and%20slurred%20speech%3C%2Fli%3E%0A%3Cli%3EBody%20temperature%20above%2039%C2%B0C%3C%2Fli%3E%0A%3Cli%3EHot%2C%20dry%20and%20red%20or%20damp%20skin%20can%20indicate%20heatstroke%3C%2Fli%3E%0A%3Cli%3EA%20faster%20pulse%20than%20usual%3C%2Fli%3E%0A%3Cli%3EDizziness%2C%20nausea%20and%20headaches%20are%20also%20signs%20of%20overheating%3C%2Fli%3E%0A%3Cli%3EIn%20extreme%20cases%2C%20victims%20can%20lose%20consciousness%20and%20require%20immediate%20medical%20attention%3C%2Fli%3E%0A%3C%2Ful%3E%0A
Gothia Cup 2025

4,872 matches 

1,942 teams

116 pitches

76 nations

26 UAE teams

15 Lebanese teams

2 Kuwaiti teams

Volvo ES90 Specs

Engine: Electric single motor (96kW), twin motor (106kW) and twin motor performance (106kW)

Power: 333hp, 449hp, 680hp

Torque: 480Nm, 670Nm, 870Nm

On sale: Later in 2025 or early 2026, depending on region

Price: Exact regional pricing TBA

UAE currency: the story behind the money in your pockets
LA LIGA FIXTURES

Saturday  (UAE kick-off times)

Leganes v Getafe (12am)​​​​​​​​​​​​​​

Levante v Alaves (4pm)

Real Madrid v Sevilla (7pm)

Osasuna v Valladolid (9.30pm)

Sunday

Eibar v Atletico Madrid (12am)

Mallorca v Valencia (3pm)

Real Betis v Real Sociedad (5pm)

Villarreal v Espanyol (7pm)

Athletic Bilbao v Celta Vigo (9.30pm)

Monday

Barcelona v Granada (12am)

UK-EU trade at a glance

EU fishing vessels guaranteed access to UK waters for 12 years

Co-operation on security initiatives and procurement of defence products

Youth experience scheme to work, study or volunteer in UK and EU countries

Smoother border management with use of e-gates

Cutting red tape on import and export of food

Five%20calorie-packed%20Ramadan%20drinks
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Kanguva
Director: Siva
Stars: Suriya, Bobby Deol, Disha Patani, Yogi Babu, Redin Kingsley
Rating: 2/5
 
THREE
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Updated: March 31, 2025, 6:55 AM`