November 30, 2010
Iraqi Kurds: Oil Laws By June 2011 Or Won't Join Government
Iraqi Kurds: Oil Laws By June 2011 Or Won't Join Government
The semi-autonomous government of Iraq's Kurdistan region wants new hydrocarbon and revenue-sharing laws by June 2011 as a condition of its participation in a new Iraqi administration, the Kurdistan Regional Government's minister for natural resources said Tuesday.
Speaking at an Iraqi oil conference here, Ashti Hawrami also said there should be no more blacklisting by the Baghdad government of oil companies working in the KRG region, and criticized the Baghdad government's new oil production target.
Baghdad and the KRG are at loggerheads over production-sharing agreements signed by the Kurds. The federal government argues these deals are illegal because they haven't been approved, while the Kurds say they are in line with the constitution.
Hawrami said eight new oil discoveries have been made in the KRG region in the past two-to-three years, and said the KRG has signed 37 contracts with 40 companies, resulting in $10 billion investment in the oil sector, notably in exploration and production. He also said three refineries have been commissioned, with a total capacity of 200,000 barrels a day, and three power plants have been built, providing over 80% of the region's power needs.
Kurdish oil production "can reach 1 million barrels a day by January 2014," Hawrami said, adding there is "between 100-200 billion cubic feet of [non-associated] natural gas in the KRG." However, he criticized Iraq's oil production target of 12 million barrels a day in the next 10 years
"Let's be mindful of the market, let's be mindful of our OPEC partners," he said. "Let's make it 4 million, let's make it 6 million."
http://www.foxbusiness.com/markets/2010/11/30/iraqi-kurds-oil-laws-june-wont-join-government/
Speaking at an Iraqi oil conference here, Ashti Hawrami also said there should be no more blacklisting by the Baghdad government of oil companies working in the KRG region, and criticized the Baghdad government's new oil production target.
Baghdad and the KRG are at loggerheads over production-sharing agreements signed by the Kurds. The federal government argues these deals are illegal because they haven't been approved, while the Kurds say they are in line with the constitution.
Hawrami said eight new oil discoveries have been made in the KRG region in the past two-to-three years, and said the KRG has signed 37 contracts with 40 companies, resulting in $10 billion investment in the oil sector, notably in exploration and production. He also said three refineries have been commissioned, with a total capacity of 200,000 barrels a day, and three power plants have been built, providing over 80% of the region's power needs.
Kurdish oil production "can reach 1 million barrels a day by January 2014," Hawrami said, adding there is "between 100-200 billion cubic feet of [non-associated] natural gas in the KRG." However, he criticized Iraq's oil production target of 12 million barrels a day in the next 10 years
"Let's be mindful of the market, let's be mindful of our OPEC partners," he said. "Let's make it 4 million, let's make it 6 million."
http://www.foxbusiness.com/markets/2010/11/30/iraqi-kurds-oil-laws-june-wont-join-government/
