Irish listed exploration firm Petrel Resources has agreed to acquire a 20 per cent shareholding in Amira Hydrocarbons Wasit.

Amira currently holds a 25 per cent carried interest in oil and gas exploration and production licences in the Wasit Province of Iraq.

Petrel said the deal equates to a 5 per cent carried interest through to production in exploration and production licences operated by Oryx Petroleum in the province.

Under the agreement, Petrel will have the right of first refusal on participation in future exploration and production licences in the Iraqi provinces of Muthanna, Karbala, Babil and Najaf secured by parent company Amira Industries.

Amira Industries' chief operating officer Arman Kayablian will also join Petrel's board as a non-executive director.

The Irish-listed firm said the deal would strengthen its position in Iraq, where it already has a presence, and would allow the company to benefit from Amira Industries’ reputation and local capability in Iraq.

“Following the recent farm out of our Irish acreage, the acquisition refocuses our efforts on one of the world’s premier hydrocarbon basins,” Petrel managing director David Horgan said. “The addition of Amira’s assets to our portfolio and the joint venture with the Kayablian family provides our shareholders with greater exposure to the world class hydrocarbon potential in Iraq”.