The overall view of the central processing station at the Iraq Halfaya Oil Field.
Taken by Ahmed.

The Halfaya Oil Field in Iraq is located in the Maysan province in southern Iraq and is one of the country’s seven giant oil fields. The oil field currently produces 20 million tons of oil annually and is the largest overseas operator project of China National Petroleum Corporation (CNPC). It plays a significant role in ensuring Iraq’s energy exports. In an interview with this reporter, the Chairman of the Iraq-China Friendship Association, Haidar Rubaii, stated that energy cooperation between Iraq and China is an important part of the Belt and Road Initiative, and Chinese enterprise projects have made positive contributions to Iraq's economic recovery and the development of people's livelihoods.

"Iraq needs to ride the fast train of China's development"

Recently, the reporter visited the oil field. In the vast field, drilling rigs are operating intensely. On the several-meter-high work platform, the crane slowly pulls the drill pipe from the ground, and two workers are cleaning the mud and carefully inspecting the wellhead. Wang Gang, the drilling team leader from Daqing Drilling Company, said that the design depth of this well is 3300 meters, and three layers of casings need to be set during drilling for reinforcement. The ongoing operation is to pull the drill pipe and prepare for setting the third layer of casing.

Beside this drilling rig, every 20 meters, six wells are neatly arranged. The combination of pipes and valves forms a cross or "F" shape. "Don’t underestimate these wells; they look simple on the surface, but the underground situation is complex," said He Yanhui, the Deputy General Manager of CNPC Halfaya Company, who accompanied the interview.

It is reported that the oil field where the Halfaya project is located was discovered as early as 1976. Due to various reasons, especially the complex geological conditions, the Iraqi government did not begin its exploitation. In 2009, CNPC, together with several international and local energy companies, successfully won the bid for the Halfaya Oil Field project in the second round of international bidding held after the Iraq War. CNPC is the operator of the oil field development.

Fang Jiazong, General Manager of CNPC Halfaya Company, introduced that the Halfaya Oil Field is a typical giant thick carbonate rock reservoir with multiple sets of oil reservoirs developed from top to bottom. The characteristics of the reservoir layers vary greatly, and the types of reservoir rocks and fluids are diverse. Several Chinese research institutions and enterprises have joined forces to make theoretical and practical innovations. In 2019, the "Middle East Giant Thick and Complex Carbonate Rock Reservoir Billion-Ton-Level Capacity Engineering and Efficient Development" project, based on the Halfaya project, won the First-Class Award for National Scientific and Technological Progress in China.

Fang Jiazong cited the multi-well three-dimensional well network development model as a demonstration of China's technological and management capabilities. The project has achieved a dense arrangement of multiple oil wells in a short distance. The oil wells are as deep as several thousand meters underground, some vertical and some horizontal, with some wells being both vertical and horizontal. These wells intersect with each other and must ensure that they do not interfere with each other but complement one another.

On the other side of the drilling platform, the slurry generated by the operations is being discharged through pipes into a pond. He Yanhui introduced that the pond is surrounded by a solid anti-permeable membrane at the bottom. After the slurry naturally evaporates, it will be refilled, and then the anti-permeable membrane and floating soil will be used for sealing. This method can completely block the pollution of drilling cuttings and waste from the drilling process to the surface and underground water, achieving the purpose of environmental protection.

Anwar Bahdeli, an official from the Iraqi Ministry of Trade responsible for external economic cooperation, said in an interview with this reporter: "Iraq urgently needs oil and gas investment, and China’s involvement in the Halfaya project has brought prosperity to local development. The energy cooperation between China and Iraq has a bright future." He emphasized that the Belt and Road projects bring tangible benefits to the countries and regions involved. A group of proactive individuals in Iraq formed the "Belt and Road Cooperation and Faou Port Citizens' Action" group, frequently organizing promotional activities to strengthen all-round cooperation between China and Iraq. He stated, "Iraq needs to ride the fast train of China's development to better address its challenges."

Rubaii remarked that under the framework of the Belt and Road Initiative, energy cooperation between Iraq and China is deepening. "The Belt and Road Initiative injects momentum for development and prosperity in participating countries, and all sectors of Iraq look forward to seizing opportunities from China's development."

"Making a significant contribution to solving local livelihood problems"

Standing on the terrace of the main control room of the Halfaya project natural gas processing plant, the cooling towers, desulfurization towers, and gas storage tanks stand tall, and the shiny stainless steel pipes shine in the sunlight. Chen Wenyu, a representative from the natural gas processing plant project, said that the construction of the project is now 90% complete, and it is expected to be mechanically finished by September this year, with ignition before the end of the year.

The Halfaya natural gas processing plant is a key industrial project attracting attention in Iraq. He Yanhui said that he recently attended a meeting convened by Iraqi Prime Minister Sudani in Baghdad. Sudani emphasized that Iraq has abundant oil and gas resources but burns a large amount of natural gas every year, leading to a shortage of electricity and gas and forcing the country to import gas from neighboring countries. Iraq hopes to strengthen cooperation with various partners to enhance natural gas processing capacity and improve the economy and people's livelihoods.

The oil extraction process generates large amounts of associated gas, but due to the enormous investment, long cycles, and technical difficulty involved in natural gas processing, a significant amount of associated gas has been directly burned in Iraq’s oil fields. This not only wastes resources but also causes severe environmental pollution.

In the early stages of development, the CNPC Halfaya project began sending some of the produced associated gas to the local Kahala power plant, making it the first plant in Iraq to effectively use associated gas for power generation. By the first quarter of 2022, more than 5 billion cubic meters of associated gas had been supplied to the Kahala power plant, effectively alleviating local fuel shortages and electricity shortages.

After the Halfaya natural gas processing plant is put into operation, it will become Iraq’s first large-scale oil and gas integrated project. It will reduce sulfur dioxide emissions by nearly 30,000 tons annually and generate 50 billion kWh of electricity from liquefied petroleum gas, providing electricity for 4 million households.

Recently, Iraqi Deputy Prime Minister and Minister of Oil Hayyan and Minister of Electricity Zed visited the CNPC Halfaya natural gas processing plant. Hayyan expressed, "CNPC has actively overcome difficulties and steadily advanced the construction of the natural gas processing plant, making a significant contribution to solving local livelihood issues. We hope the project is completed as soon as possible to address the local energy shortage."

"Becoming our home for honing skills and exchanging with each other"

"Remember the four steps when using a fire extinguisher — pull the safety pin, aim at the fire source, press the handle, and sweep the flame evenly" ... In the classroom of the CNPC Halfaya Oil Field camp training center, Iraqi youth are receiving safety training. "For us, the university graduates without work experience, training opportunities like these are precious, as they help us quickly improve our skills and lay a good foundation for future personal development," said trainee Ali.

To promote local employment and assist with talent development in Iraq, CNPC Halfaya Company has organized three batches of university student training programs, training more than 260 highly skilled oil talents. The fourth batch of Iraqi youth training programs, which is currently underway, consists of 150 trainees. They will receive 18 months of training, including English, computer operations, oil industry standards, finance, and business basics, followed by practical training based on job requirements. It is reported that many of the trainees from previous batches have grown into department managers and project supervisors.

The fourth batch of Iraqi youth training projects has also been selected as a key project for the "Dream Silk Road" youth development plan in 2023, jointly launched by the Central Committee of the Communist Youth League and the State-owned Assets Supervision and Administration Commission (SASAC). The project introduces the distinctive "master-apprentice, mutual help" mechanism, organizing exchanges of work skills and growth experiences between outstanding Chinese and foreign youth, establishing partnerships, and promoting cross-cultural communication.

"When I started working here, it was still a desert. Now, the camp is full of trees, the buildings are orderly, and a small airport has been built. Employees come from dozens of countries, and it has become our home for honing skills and exchanging ideas," said Ali Nasir, the employee management head of the human resources department at Halfaya Company. The company currently has more than 1,600 Iraqi employees, and the local employment rate exceeds 80%. The camp has become a practical base for local students’ educational activities, with many university students choosing it as a popular spot for their graduation photos.

The Halfaya Oil Field's Havi Wetland is the only wetland in Iraq protected by the Ramsar Convention and has a highly sensitive ecological environment. The Halfaya Oil Field strictly adheres to environmental protection quality standards, reduces pollution from human activities, promotes the healthy circulation of wetland ecosystems, and effectively protects the habitat of migratory birds.

CNPC actively participates in local social welfare activities, providing food for community residents, helping with road repairs, and building infrastructure such as bridges, culverts, high-voltage lines, and ditches; donating activity rooms to local schools, providing school buses and learning tools; donating appliances and furniture to local community clinics ... Ali Dawi, Governor of Maysan Province, stated that CNPC has made significant contributions in supporting public welfare, providing employment, and promoting people’s well-being, expanding the traditional friendship and practical cooperation between Iraq and China.