OREANDA-NEWS. June 14, 2012. Hitachi Plant Technologies, Ltd. ('Hitachi Plant Technologies') and Sumitomo Corporation ('Sumitomo') have concluded an Agreement with South Oil Company ('SOC') agreeing to commence investigations for introduction of Hitachi Plant Technologies' advanced water treatment system for the Iraqi oil industry.

Iraq is expected to be one of high oil-producing countries of the world, and further investment in oil development such as drilling of new oil wells is anticipated in the future. SOC, one of the largest national oil companies, responsible for Iraq's southern region, is very keen on introducing advanced technology to improve the efficiency of its oil processing facilities and to prevent environmental pollution.

In order to solve Iraqi concerns of produced water, Hitachi Plant Technologies and Sumitomo have concluded to sign this Agreement and to penetrate this technology as a solution provider for the Iraqi oil industry.

As the first step, the three companies will install a demonstrative Industrial Water Treatment System unit (see following page for details) developed by Hitachi Plant Technologies in a certain oil field owned by SOC in southern Iraq, and will study various applications as solution for environmental requirement and technical requirement demonstrating the proven performance.

Hitachi Plant Technologies is contributing the reconstruction of Iraq through its Middle East Regional Headquarters (in Dubai, UAE), and in 2010 delivered ten units of a membrane bioreactor system as wastewater treatment systems for Al-Shafa and Al-Faw Hospitals, and has one reference of delivering the reverse osmosis (RO) membrane system of our recycle water technology for the Ministry of Municipalities and Public Works. Based on this experience and expertise, Hitachi Plant Technologies is to be engaged in the engineering, construction, operation, and maintenance of water treatment systems for the oil industry.

Sumitomo is engaged in the contact point toward Iraqi government and proceeds marketing for the introduction of this technology utilizing the extensive knowledge and business experience in fields of automobiles, construction equipment, iron and steel, electrical power, telecommunication equipment since Baghdad office was established in 1966. In addition to promote the penetration of this water solution technology, Sumitomo will promote earth-friendly projects worldwide such as associated gas treatment solutions to contributing to the preservation of environment.