HKN Energy (“HKN”) and Iraq’s Ministry of Oil (“MOO”) have reached a landmark agreement, finalizing the technical terms for the full-field development of the Hamrin oil field, underlining a major step toward concluding a formal development contract.

Key Highlights of the Agreement

• The technical terms were agreed in Kirkuk at the headquarters of the North Oil Company (NOC), building on the Heads of Agreement signed in July 2025.
• The framework covers the rehabilitation and expansion of existing wells, as well as systematic redevelopment to boost production from the current ~20,000–25,000 barrels per day (bpd) to a target of 60,000 bpd.
• The deal also includes a plan to capture and utilize 45–50 million standard cubic feet per day of associated gas, diverting it for domestic power generation — supporting both Iraq’s energy security and economic infrastructure.
• HKN intends to deploy specialized U.S. technical expertise, advanced equipment, and financial investment once the full contract is signed.
• A core objective is to maximize local involvement: HKN has reaffirmed its commitment to employing a high proportion of Iraqi workforce, training local staff, and contributing directly to the communities surrounding the field.

HKN Energy’s successful agreement to these technical terms represents a major milestone in the Hamrin project lifecycle. According to HKN Vice President Srood Mukhtar, the parties are now “very close to concluding contract negotiations” and delivering a development that “strengthens Iraq’s energy capacity and directly benefits its people.”

For the Iraqi government, this development aligns with broader national aims of modernizing brownfield assets, increasing domestic oil production, and harnessing associated gas for electricity generation.

KeyFacts Energy: HKN Energy Iraq country profile