Iraq and oil major BP have signed a deal to redevelop four Kirkuk oil and gas fields, BP said on Tuesday, a breakthrough for Iraq, where output has been constrained by years of war, corruption and sectarian tensions.

BP Plc finalized an agreement with the government of Iraq to redevelop the giant Kirkuk oil fields, a deal that signals a return to the company’s Middle Eastern routes and should help to bolster production from the OPEC member.

BP will redevelop 3 billion barrels of oil equivalent across five fields in Iraq, all of which are currently operated by state-owned North Oil Company.

Iraq and oil major BP signed a deal to redevelop four Kirkuk oil and gas fields, Iraq's state news agency reported on Tuesday. The deal marks a breakthrough for Iraq, where output has been constrained by years of war,

BP has finalised contractual terms with the Government of Iraq to invest in the redevelopment of several giant oilfields in Kirkuk. The investment spans oil, gas, power and water sectors, with potential for further exploration.

BP (NYSE:BP) and Iraq's government have signed a deal to redevelop four Kirkuk oil and gas fields, Iraq's state news agency reported Tuesday, marking a breakthrough for the country, where production has been hampered by years of war,