MOSCOW: Russian top oil producer Lukoil is producing more than 200,000 barrels per day at its West Qurna-2 oilfield in Iraq and has fulfilled its contractual obligations, it said on Wednesday, adding its operations had not been disrupted by violence.
"The West Qurna-2 oilfield is functioning normally, the project is located in the south of Iraq, far from the unfolding events," a spokesman for Lukoil's foreign branch, Lukoil Overseas, told Reuters.
Militants from an al Qaeda splinter group who seized Iraq's second-biggest city of Mosul in northern Iraq this week have advanced into the oil refinery town of Baiji, setting the court house and police station on fire, security sources said.
Lukoil also said it had successfully maintained an average daily production of at least 120,000 bpd for 90 days at the West Qurna-2 field "entitling it to begin recovering costs and receive remuneration".
Lukoil started oil production at the field in southern Iraq in March.
West Qurna-2, where Lukoil holds a 75-percent stake, is one of several big Iraqi oil fields set to boost Iraq's economy after a decade-long U.S. intervention in the country. The field's output is expected to peak at 1.2 million bpd.
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