Thread: Iraq/Dinar News until 5/23/07 Midnight CST

Iraq to spend R10bn on weapons

Baghdad - Iraq's defence ministry will buy new weapons worth more than $1,5-billion (about R10-billion), including helicopters and US rifles, the minister announced on Monday.

The purchases will be made possible by a 26 percent increase in the country's defence budget, to $4,1-billion (about R29-billion) for the current fiscal year.

"The Iraqi government has signed a contract with the American government to set up a foreign weapons sales office to buy weapons that Iraq needs," Defence Minister Abdel Qader Jassim Mohammed said at a Baghdad press conference.

"This programme will help Iraq to buy modern weapons and to ensure arrival of these weapons when the ministry asks for them," he added.

Mohammed is also looking to beef up the country's air force and navy
Iraq has started importing American-made M-16 and M-4 rifles, which are slowly replacing the ubiquitous Soviet-designed AK-47 Kalashnikov among the Iraqi forces struggling to bring order to the country.

Mohammed is also looking to beef up the country's air force and navy with the purchase of 29 Soviet-designed M-17 helicopters, six reconnaissance planes, 10 patrol boats from Italy and 26 from the United States.

The gradual switchover from the AK-47 to the M-16 began earlier this month, when a graduating class of Iraqi military recruits became the first of 1 600 rookie soldiers to start receiving the weapons.

The M-16 fires a 5.56mm round, standard among most modern armies and lighter than the 7.62mm used in the rugged Kalashnikov.

Iraq is awash with Kalashnikovs looted from ousted dictator Saddam Hussein's defunct armed forces, smuggled from around the region by militants and imported by the United States to arm new Iraqi security units.

Many go missing from official stocks, but the new generation of US-made weapons will be issued to individual soldiers, whose photographs and biometric data will be recorded next to their guns' serial numbers to deter fraud. - Sapa-AFP

Iraq to buy oil tankers
By Abed Battat


22 May 2007 (Azzaman)

Iraq is planning to buy small oil tankers with specifications that will enable them to navigate easily through terminals on the Gulf and the Shat al-Arab Waterway.

Abdulkarim al-Saadi, director-general of Iraqi Tanker Company, said the company will soon invite foreign firms to take part in tenders to build the tankers.

Saadi did not say how many tankers Iraq intends to buy but made clear the need was urgent for small-capacity ships in order to meet the country’s growing needs for oil products.

Iraq currently imports more than half of its fuel needs estimated at 700,000 barrels a day as its refineries are working much below their capacity due to violence and attacks on pipelines.

The company had one of the largest crude oil transport fleets in the Middle East with 22 tankers.

But these were either sunk at terminals or got rusted as the company could use or repair them due to U.N. trade sanctions.

'Iraq's debts won't be written off unless it makes progress'


21 May 2007 (Deccan Herald)

US Ambassador to Iraq Zalmay Khalilzad said Iraq's main creditors, including Saudi Arabia, will not write off billions of dollars in debt unless it make progress on national reconciliation, economic reform, and improving security.

Iraq's main creditors, including Saudi Arabia, will not write off billions of dollars in debt or provide financial assistance to the war-torn country unless it make progress on national reconciliation, economic reform, and improving security, US Ambassador Zalmay Khalilzad said.

The US envoy, who left Iraq in March after 21 months that saw a massive increase in violence in Baghdad, stressed that a new five-year compact to stabilize Iraq requires the government and the international community to deliver on commitments.

"The Iraqis have committed themselves to a set of decisions on the economic front, on the political and security front," he told The Associated Press in an interview. "In exchange for that, the international community has committed to assist Iraq."

"The assistance, including debt relief, is conditional on progress," Khalilzad said. "Iraqis cannot assume that they will get that assistance if they don't make progress on their commitments."

The debt issue is of paramount importance to Iraqi's struggling government as much of the country's infrastructure, which was already in disrepair under Saddam Hussein's regime, has yet to be rebuilt after the 2003 US-led invasion.

While hopes have repeatedly been voiced by some in the international community that Iraq would use proceeds from oil sales to finance the reconstruction, such efforts have faltered or failed _ in large part because security costs have eroded sizable portions of reconstruction budgets.

Iraq's Kurdistan opens its arms to Gulf investors
By Mayada Al Askari

22 May 2007 (Gulf News)

This is not Switzerland. But in its most enchanting spirit, high up in the Iraqi clouds and skies, is the Kurdistan Region in Iraq. It has witnessed so much pain and misery throughout its history, we actually applaud its perfect beauty today.

With stability, peace and a willingness to develop the area, the Kurdish Regional Government put down the Kurdish Regional Investment Law No 4, which was issued in mid-2006.

According to Eamad Jamil Mazouri, the Kurdish Regional Government's Representative to the UAE, the process to attract investment to Kurdistan started as early as 1992.

“When the Kurdish Parliament elections took place in 1992, we started building our regional state's establishments, we decided to tread the road of free enterprise as opposed to so******m, which did not work in Iraq as a whole. We also had to mend our devastated infrastructure,” he told Gulf News.

According to Mazouri, when Nechirvan Barzani became prime minister in 1998, he introduced a whole new vision.

“He was highly interested in Dubai as a superb model of a dynamic fast-growing metropolis,” Mazouri said.

After the end of Saddam Hussein’s regime, Iraq voted on the constitution that approved a federal model for Iraq. In 2005, the Kurdish Region constitution was issued for discussion.

Growing interest

Recent months have witnessed a growing interest in Kurdistan. In a recent economic conference in the UAE, a number of Gulf investors expressed their interest in energy supply, road and water projects, Mazouri said.

“We have actually finalised some contracts [with UAE entities] such as Dana Gas, Sharjah, which signed agreements with the Kurdistan Regional Government to study gas development and utilisation potential in Iraqi Kurdistan,” he said.

The total cost of the project is $400 million.

Dana Gas and its affiliate Crescent Petroleum will launch an industrial gas complex concept called “Kurdistan Gas City”, designed to promote private sector investment and employment.

Under a separate service contract, Dana Gas will develop, process and transport gas from the Khor Mor field on a fast-track basis. Dana Gas will also appraise the Chemchemal gas field, which is needed to supply power plants under construction near the cities of Erbil and Suleimaniah, by January 2008.

The Kurdistan Regional Government may also establish a free zone to attract more investments.

“The free zone will be established close to the Kurdish-Turkish border in Zakho,” Mazouri said.

A new $300 million airport is being built in the city of Erbil, which will be able to handle the biggest aircraft in the world, including the Russian Antonov 225 cargo plane and the American C-5 Galaxy.

The airport’s new runway 18/36 will be one of the longest in the world, at 4,800 metres.

Additionally, the Iraqi Kurdish regional government and a Dubai firm are also to build a $400 million “Media City” in Erbil.

Under the deal to create the Erbil Media City Company, the regional government will have a 60 per cent stake and a Dubai-based TV and cinema production company will hold the remaining 40 per cent. Six satellite television stations currently air from Kurdistan, which is home to hundreds of foreign companies, including 400 Turkish ones. This project is to see light in two years’ time.

Specific draft

The Kurdistan Real Estate Development Company (KREDCo) presented the specifications draft for the construction of a mall in Kurdistan valued at $120 million and on an area of 104,000 square metres; it is expected to be completed within four years.

According to the proposed plan, the mall will include a hotel, a commercial office complex, big retail market, large shopping centre, three residential apartments buildings and a recreational area.

Kurdistan and the rest of Iraq have become even more dramatic. The plains around Erbil are the location for luxury housing developments. They have names like English Village, which resembles a gated-California suburb, and Dream City, which will have a conference centre, supermarket and American-style school.

The Turkish developers of Naz City, a high-rise condominium complex, are trying to sell house-proud Kurds on modern apartment living. An American company is planning to build Iraq’s first ski resort in the mountains near the Turkish and Iranian borders.

Mazouri was optimistic about the future. “The new policy has opened great opportunities for Kurdistan Al Iraq. We will soon see a tourist destination open to all the people in the area, a prosperous entity with open arms for all,” he said with a smile.

Three billion dollar airport in Karbala
By Brian Hall

21 May 2007 (Iraq Directory)

Final approvals have been completed for the establishment of Karbala International Airport, as announced by the Board committee of reconstruction. Abdul Al al- Yasiri, head of the city council of Karbala, said that a Cypriot-British company specializing in building aircraft, made an offer to implement this project and a Kuwaiti investor indicated willingness to finance three billion dollars for it. The implementing company expressed its willingness to bring in the biggest planes in the world within one year of starting the project. But the Kuwaiti investor said that there will be 11 taxes imposed on the airport, and expressed willingness to provide the necessary amounts to the company implementing the insurance with the city council and enter as a partner only for one of these taxes.

Mr. Abdul Al al-Yasiri, head of Karbala City Council and Mr. Mohsin Al-Kinani, member of the Committee of Transport and Communications met the Adviser to the Prime Minister, Ali Saadawi, and reviewed the steps performed by the City Council in completing Karbala International Airport and the subsequent steps to find a financier to build the airport. Al-Yasiri demanded during the meeting that the central government allocate a sum for the completion of this project so they won't have to turn to investment companies, since this project is a vital one which will bring substantial profits to the province. Also, ideas about investment and how to transfer control of the airport were discussed during the meeting.

100 New Project For Ensure Services

Baghdad, 21 May 2007 (Al-Sabaah)

The new coming few months would witnessing carrying out more than 100 projects including Iraq rebuilding plan, while the work of ten projects have started in Baghdad and the provinces.

As ource at the planning ministry said that, the mentioned projects which financed by the Iraq rebuilding box money including various service fields and frustrations besides other projects in employing the joblessness and ending the workless youth, emphasizing that, the strategic institution for re building Iraq have viewed the mentioned projects and put the grantee plan for carrying out well.

On the other hand, he pointed that the projects would cover Baghdad's and the provinces needs.

Industrial Revitalization Continues

21 May 2007 (The Conservative Voice)

Defense Department task force is in Baghdad again this month working with the Iraqi government to revitalize Iraq's industry and restore normalcy to the economy.

Paul Brinkley, deputy undersecretary of defense for business transformation, briefed reporters in Baghdad today, highlighting the group's latest efforts, including bringing international business leaders to Iraq and giving loans to Iraqi businesses.

"Our process is to engage these industrial operations, to get them restarted, to help restore intra-Iraqi demand and the ties of commerce that existed before," Brinkley said. "We are working in partnership with the government of Iraq to reestablish between different areas of the country, but also to provide access for the global community, the global economic community, to these industrial operations."

The team, which has been visiting Iraq since May 2006, has spent four and a half weeks in Iraq on this visit, Brinkley said. During that time, the Defense Department brought a group of 15 business executives from the Western and international communities to Iraq to engage with Iraqi business leaders and develop economic partnerships.

Brinkley also announced that the Defense Department, in partnership with the Iraqi Ministry of Industry, is offering low-interest loans to Iraqi businesses. These fixed-term loans, totaling $20 million, will go to boost revitalization at about 24 businesses, he said.

"This is part of our effort to partner with the government of Iraq, to restore industrial operations, to reemploy sizeable numbers of people in Iraq, and to restore normalcy to areas of the country where stability exists," Brinkley said.

Yesterday, Army Gen. David H. Petraeus, the commander of Multinational Force Iraq, visited a large textile factory in Najaf where 1,800 Iraqis have returned to work, Brinkley said. The clothing made in that factory is being reviewed by Western retail outlets and probably will appear in Western retail outlets by this fall, he said.

"We continue to work on contract negotiations with Western retailers as well as heavier industrial operations in the West who are negotiating with the minister of industry and directly with plant managers here in Iraq to move work here to acquire goods made in Iraq, and we continue to see progress on this front, and that's a very exciting development," Brinkley said.

Fawzi Hariri, the Iraqi minister of industry and minerals, also spoke at the news conference, highlighting the importance of the task force's work to the Iraqi people. The ministry of industry is working to open Iraqi business to investments from the Arab world, Hariri said, and is working with the U.S. to bridge the gap in technology that has developed in recent years.

"The team from the Department of Defense and the job they're doing by supplying us and providing us with support, this is the thing that we welcome, and it is so tangible by us, and it's one of the basic things that we've witnessed," Hariri said through a translator.

Originally Posted by mrs marple

Adster is saying they have cancelled the Summit becuase they have no passed Oil Law. Won't be passed before the end of May sorry to say. We've gotta hope for before their hols in July it is passed.....

Does seem that Adster was correct and it has been cancelled, IRAQ. Following consultation with senior officials from the Iraqi government, the Kurdistan Regional Government and the US Embassy Baghdad the organisers have said it is necessary to reschedule the Iraq Oil, Gas, Petrochemical & Electricity Summit for 2-4 September 2007. This has come about as a result of ongoing negotiations concerning Iraq’s proposed new hydrocarbon law.
Now I see that they are talking on this issue in Baghdad, lets hope this mess gets sorted out......Sure miss Adsters insightful posts...!!
MrsM

He's over at XXX....do you need the link?

Great read here! from PAn8tv! looks as though Iraq government finally trying to become Independent. Now lets see the RV .

World Updates
May 22, 2007
EXCLUSIVE - Bush: September "important moment" in Iraq
By Steve Holland
WASHINGTON (Reuters) - President George W. Bush said on Monday he believes September will be an "important moment" to assess the extent of progress in Iraq under his much-criticized troop buildup plan.

Bush, who has rejected timetables for a U.S. pullout from Iraq proposed by Democrats, is under pressure by lawmakers from his Republican Party to show progress in Iraq by September or risk their desertion.


U.S. President George W. Bush looks up during an interview with Reuters aboard Air Force One, during his return to Washington May 21, 2007. Bush said on Monday he believes September will be an "important moment" to assess the extent of progress in Iraq under his much-criticized troop buildup plan. (REUTERS/Kevin Lamarque)
He expects to get an assessment of the impact of the troop buildup plan from the top U.S. commander in Iraq, Gen. David Petraeus, at the end of the summer.

"I see it as an important moment, because David Petraeus says that's when he'll have a pretty good assessment as to what the effects of the surge has been," Bush told Reuters in an interview when pressed on whether he sees September as a make-or-break period.

A group of Republican lawmakers visited Bush privately at the White House earlier this month to express their concerns to him. Bush called it a good session that included a "very frank discussion" of his views about Iraq and "their hopes that we can succeed."

"Very few people come to the White House and say, gosh, I hope we fail. Most people are saying, well, I hope this works, and I am concerned about the situation there," Bush said.

Congress is trying to approve by next week about $100 billion in new funds for U.S. troops fighting in Iraq and Afghanistan because existing funds are running out.

But lawmakers and Bush are embroiled in a fight over whether any conditions should be attached to that money, such as Democrats' desire to impose timetables for ending the 4-year-old war.

Talks last Friday that appeared to be edging toward an agreement ended in acrimony.

Bush said he had directed White House Chief of Staff Josh Bolten to negotiate with lawmakers on what consequences should be imposed to pressure the Iraqi government to meet measurements of progress.

"There is a way forward, there's a compromise to be had. My hope is that the Democrat leader sees it," Bush said.

Lawmakers need to understand that a failed Iraq would embolden al Qaeda, Bush said, adding that he would underscore the point in a speech on Wednesday that "al Qaeda is public enemy number one in Iraq and is public enemy number one for America."

Bush called Iraqi Prime Minister Nuri al-Maliki on Monday and urged him to proceed with political reconciliation among warring groups there, the White House said.

Maliki has been under fire from U.S. lawmakers for not moving quickly enough to gain approval for an oil revenue-sharing law and other measures aimed at a political reconciliation in Iraq.

Bush gave renewed support to Maliki in the phone call marking his first anniversary as prime minister.

"The president reaffirmed his confidence in the prime minister and noted the courage he has shown during a challenging and difficult year," White House spokesman Tony Fratto said.

Maliki stressed his commitment to reconciliation and gave an update on reconciliation initiatives aimed at drawing Sunni Arabs away from the insurgency and into the political process alongside majority Shi'ites and Kurds.




Copyright © 2007 Reuters

EXCLUSIVE - Bush: September "important moment" in Iraq