CNPC, BP in deal to develop Iraqi oilfield

China National Petroleum Corp (CNPC), China's largest oil and gas producer, and Britain's oil giant BP signed an initial agreement on Thursday with Iraq's Oil Ministry to develop Rumaila, Iraq's largest oilfield.

"The signed contract will be referred to the cabinet for approval," said Iraq's Oil Ministry spokesman Asim Jihad. "The ministry will set an official date for signing the contract after the cabinet's approval."

He said the deal, which requires an investment of more than $15 billion, was signed by the ministry, represented by the State-run South Oil Company, and CNPC and BP.