Russia's LUKOIL says "no" to Iraqi West Qurna-1 project

MOSCOW Mon Dec 24, 2012 3:48am EST

MOSCOW Dec 24 (Reuters) - Russia's second-largest crude producer LUKOIL said on Monday it decided against entering project to develop Iraqi huge West Qurna-1 oilfield, citing high risks.

LUKOIL oversees the largest share of oil reserves in Iraq among foreign companies and is already involved in the West Qurna-2 project.

"We have analysed all the risks and decided that, as we have (already) been implementing such a global project as West Qurna-2 without a partner, we would have taken upon great risks by entering another big project such as West Qurna-1," Andrei Kuzyayev, head of LUKOIL Overseas, told Russian state TV channel Rossiya-24.

West Qurna-1 became available for LUKOIL and other majors last month when ExxonMobil has informed the Iraqi government it wants to pull out of the $50 billion project in southern Iraq.