SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 6-K

Report of Foreign Issuer

Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934

          for the period ended 03 November 2009

           BP p.l.c.
                 (Translation of registrant's name into English)

                 1 ST JAMES'S SQUARE, LONDON, SW1Y 4PD, ENGLAND
                    (Address of principal executive offices)

     Indicate by check mark whether the registrant files or will file annual
     reports under cover Form 20-F or Form 40-F.

Form 20-F        |X|          Form 40-F
                         ---------------               ----------------

     Indicate by check mark whether the registrant by furnishing the information
     contained in this Form is also thereby furnishing the information to the
     Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
     1934.

Yes                            No        |X|
                         ---------------               ----------------

press release

3 November

, 2009

BP AND CNPC TO

DEVELOP

IRAQ

'S SUPER-GIANT RUMAILA FIELD

BP, and China National Petroleum Corporation (CNPC), announced today that they have signed a technical service contract with Iraq's state-owned South Oil Company (SOC) to expand production from the Rumaila oilfield, near Basra in southern Iraq. The signing follows BP's successful bid for the contract with CNPC in Baghdad in June.

The consortium led by BP (38 per cent) with partners CNPC (37 per cent) and the Iraq government's representative State Oil Marketing Organisation (SOMO - 25 per cent), has agreed to nearly triple the Rumaila field's output to almost 3 million barrels of oil a day (b/d), which would make it the world's second largest producing oilfield.

and CNPC

plan to

invest

approximately

$15 billion

in cash

over the

20 year

lifetime of the contract

with the intention of increasing

plateau

production

to 2.85 million b/d

in the second half of the next decade.

Once production has been raised by 10

per cent

from its current level of about 1 million b/d

, costs

will start to be

recovered,

and fees of

$2 a barrel

earned on the

incremental oil

production

"We are pleased to have this opportunity to work with the people of

Iraq

to develop one of the world's great oilfields and we see this as the beginning of a long-term relationship with

Iraq

," said BP's chief executive Tony Hayward.

"We are also pleased to have the opportunity to help Iraq rebuild its economy after years of war and sanctions. The investment in Rumaila will support Iraq in achieving its ambition of becoming a major player in global oil markets once again and will catalyze training and development opportunities for the many thousands of Iraqi workers on Rumaila," Hayward added.

The Rumaila Field Operating Organisation (ROO) will manage the rehabilitation and expansion project. ROO will be staffed mainly by employees from South Oil Company and will contain a small number of technical experts and managers from BP and CNPC.

BP has already gained

information about

the

Rumaila

field

through a

three year memorandum of understanding to provide technical assistance from 2005

and

historically

has

knowledge of the field's geology da

ting back to discovery in 1953.

BP and its partners

intend to

use

their

reservoir management

expertise to

boost recovery and increase production from the Rumaila field, focussing initially on

waterflood

and gas reinjection

optimization.

Further enquiries:

press office - tel: +44 (0)20 7496 4

076

- ENDS -

**********************

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

BP p.l.c.
(Registrant)

Dated: 03 November 2009

/s/ D. J. PEARL
..............................
D. J. PEARL
Deputy Company Secretary