Chinese contractor wins $294m Iraq oil project
16 June 2025
China Petroleum Pipeline Engineering Company (CPP) has been awarded a pipeline contract in Iraq by France’s TotalEnergies.
CPP, which is a wholly owned subsidiary of CNPC Engineering, has been awarded a contract to build the Atawi Gas Midstream Pipeline project for approximately $294m.
The project uses the engineering, procurement, supply, construction and commissioning contract model.
The contract awarded to CPP is part of the Gas Growth Integrated Project (GGIP), which has a total expected value of $27bn and a first phase that is expected to be worth $10bn.
TotalEnergies is the main operator of the GGIP. Basra Oil Company (30%) and QatarEnergy (25%) are the other stakeholders.
TotalEnergies said that the contract for the GGIP was the largest foreign investment contract in the company's history when it signed the deal in 2023.
Since 2023, rapid progress has been made on the project and, in March this year, Dunia Chalabi, the managing director of TotalEnergies in Iraq, said that the company is aiming for “full operational readiness” by 2027.
Two other contracts were awarded for the GGIP in April.
One of the two contracts awarded in April is focused on the development of the gas field known as Ratawi or Artawi, while the other is focused on the Common Seawater Supply Project (CSSP), which will transport seawater to oil fields for injection to increase production.
In May, the two contract awards were approved by Iraq’s Council of Ministers.
Iraq’s Council of Ministers approved the award of the contract for work on the CSSP by state-owned Basra Oil Company to CPP.
The contract for a gas processing plant at the Ratawi field was awarded by Iraq’s state-owned South Gas Company to China Petroleum Engineering & Construction Corporation.
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