The move follows the invitation to Global from the Kurdistan Regional Government (KRG), to start detailed negotiations with the relevant Iraqi authorities and the Coalition Provisional Authority in Baghdad, for field rehabilitation over the Chamchamal Area in Iraqi Kurdistan.

Fira is a consortium of private international investors who, subject to the results of each stage of the program, have committed to fund an initial capital program of US$30-40 million over the first two to three years of a Production Sharing Agreement.

If the Joint Venture is awarded a Production Sharing Agreement for the area, Fira will carry Global's 20% share of the cost of the initial capital program, which includes reviews of existing information, new seismic and drilling, and production testing in the area.

The work is intended to confirm the presence of economically producible condensate rich gas and oil as indicated by the Chamchamal wells and other information from the area, so that the consortium can develop plans that will lead to an early production project.

Global and Fira will form a project operating company for the purpose of conducting joint venture business in the area.