The Iraqi Ministry of Oil signed on Sunday initial contracts with the UAE Crescent Petroleum company for exploration and development of three oil and gas blocks: Kilabat-Gumar, Khashim al-Hmer-Injana, and Khudhr al-Maa.
The blocks, located in the Diyala and Basra provinces, border Kuwait and Iran.
Iraqi Oil Minister Jabbar Luaibi said Iraq has started a new phase in developing the oil fields in border areas in order to increase the country's oil and gas reserves.
"Such contracts are an optimal investment for oil and gas wealth in these fields and exploration blocks in the border areas which have been neglected for decades," Luaibi noted.
Crescent Petroleum company representative Abdullah al-Qadhi stated the blocks will begin production in three years after signing the contracts for 12 billion dollars.