MADRID -(Dow Jones)- Total SA (NYSE:TOT) (TOT) is on the verge of signing service contracts in the coming weeks to help boost production at an Iraqi oil field, the French oil company's chief executive said Tuesday.
"We are on the verge" of signing a service contract for the West Qurna oil field, Total CEO Christophe de Margerie said at a press conference at the World Petroleum Congress in Madrid.
Total hopes to sign a deal "in the weeks to come," he said, adding it is partnering with Chevron Corp. (NYSE:CVX) (CVX) on the contract.
The service contracts, which were initially expected to be signed Monday, consist of technical support to help increase Iraqi production.
Unlike production sharing agreements, the service contracts would not entail direct investment from foreign companies.
De Margerie said it would still be "too early" in 2009 to sign such production sharing agreements due to security concerns.
-By Benoit Faucon, Dow Jones Newswires; +44-20-7842-9266; benoit.faucon@ dowjones.com
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(END) Dow Jones Newswires 07-01-08 0643 Copyright (c) 2008 Dow Jones & Company, Inc.