Russia’s biggest privately owned oil producer OAO Lukoil Holdings said Friday it has received the right to explore the Block 10 project in Iraq.

Lukoil’s overseas arm has a 60% share of the field, which is located 120 kilometers to the west of Basra, and Japan’s INPEX has 40%, the company said.

The winning bids were a remuneration fee of $5.99 per barrel of oil equivalent, a signature bonus of $25 million, a mandatory minimum exploration program which includes a 1,375-kilometer 2D-seismic acquisition and the drilling of one exploration well, and also a minimum expenditure of $100 million, Lukoil said.

Source: Dow Jones & Rigzone