Iraq's oil minister said that oil at $75-$80 a barrel was a fair price for producers and consumers, adding that his country was seeking to expand its production and export capacity in the coming years.
Oil prices traded above $83 a barrel on Wednesday, their highest since October 2018, amid a global energy crunch and a decision by the Organization of the Petroleum Exporting Countries and its allies to stick to a small increase in production next month.
Ihsan Abdul Jabbar told the Energy Intelligence Forum that Iraq aims to raise its oil production capacity by some 3 million barrels per day (bpd) to 8 million bpd by the end of 2027.
The OPEC member is also targeting raising its crude export capacity to 6 million bpd from 4 million bpd now by the end of 2024.
He added that talks with US oil major Chevron Corp (CVX.N) on developing the Nassiriya oilfield, which is estimated to hold about 4.4 billion barrels of crude, could reach final agreement in the next few weeks.
He said that the Iraqi National Oil Company (INOC) will hold a stake of no less than 40 percent in the joint partnership with Total Energies (TTEF.PA) in a project the French major is developing in the country.
Total Energies will build four energy projects in southern Iraq under a $27 billion deal signed in Baghdad last month.
In a related context, US crude oil and gasoline inventories rose last week as production rebounded as more offshore oil facilities returned from last month's storm-related shut-ins, the Energy Information Administration said on Wednesday.
Crude inventories rose by 2.3 million barrels in the week to Oct. 1 to 420.9 million barrels, compared with analysts' expectations in a Reuters poll for a 418,000-barrel drop.
Crude stocks at the Cushing, Oklahoma, delivery hub rose by 1.5 million barrels in the last week, EIA said.
Refinery crude runs rose by 329,000 barrels per day in the last week, EIA said. Gasoline inventories also increased by 3.3 million barrels to 225.1 million barrels over that period.
Brent hit $83.46 a barrel, reaching its highest level since October 2018. WTI also hit its seven-year-high level with $79.78 a barrel.
