Exxon-Shell wins West Qurna deal

BAGHDAD (AP) - Iraq's Oil Ministry spokesman says a consortium grouping U.S. and European oil giants Exxon Mobil Corp. and Royal Dutch Shell PLC has won the right to develop one of Iraq's most prized oil fields.

Assem Jihad said the deal to develop the 8.6 billion barrel West Qurna Stage 1 will be initialed later Thursday. It will then be sent to the Cabinet for approval.

The two companies hope to raise production from the field from the current 280,000 barrels per day to 2.1 million barrels per day over the next seven years. They will receive $1.9 per barrel produced.

Two other consortiums were bidding for the project. One included Russia's Lukoil and U.S. giant ConocoPhillips and the other was headed by China's CNPC.