Russian oil company Lukoil could gain reserves worth up to $7 billion if it manages to revive a Saddam-era Iraqi oil deal, analysts at JP Morgan said.

The Russian government has called on Iraq to support Russian oil and gas investments that were lost after the US-led invasion in 2003, and Lukoil said this week it planned to set up a working group with Iraqis to try and renew the West Qurna contract.

JP Morgan said in a research note released on Friday that, according to Russian estimates, production at the field was expected to peak at 700,000 barrels per day.

'Reserves could total 4.5-7.3 billion barrels. We estimate the value of Lukoil's stake at $3.7 billion to 6.8 billion,' the bank said.

But Iraqi government officials have indicated Lukoil has little chance of reviving the West Qurna contract, and that an award jointly to Chevron and Total was more likely.

Lukoil is 20 per cent-owned by US oil major ConocoPhillips.