Thread: Archive Latest News - Think Tank - 16/08/07 - 03/11/07

Iraq pullout plan fails again in Senate

Frustrated U.S. Senate Democrats failed to pass legislation on Friday to force a troop pullout from Iraq in nine months, capping a week of defeats that reinforced the chamber's divide over the war.

The proposal's sponsors said they would spend the weekend crafting a compromise to try to attract more support to challenge President George W. Bush's strategy in Iraq, and denied they were wasting the Senate's time.

"We're not going to be discouraged," Michigan Democratic Sen. Carl Levin said. "There's no better use of the Senate's time than to try to change the direction in Iraq."

The Senate voted 47 to 47 on a plan by Levin and Rhode Island Democrat Jack Reed to require most U.S. troops to leave Iraq within nine months of the bill's enactment. That was far short of the 60-vote threshold it needed for approval and worse than 52-47 vote received by a similar measure in July.

The loss was one of a string of Democratic defeats on the war this week. A Democratic proposal for a war funding cutoff was rejected on Thursday, and a plan to give U.S. troops more leave between deployments also failed amid criticism it would limit the military's ability to maintain force levels.

War opponents in the Senate have endured similar setbacks all year, but had hoped more Republicans would break with President George W. Bush this autumn and embrace timelines for bringing U.S. troops home, or at least back other plans that contested strategy in the unpopular war.

But the Republican minority in the closely divided Senate felt bolstered by a recent report from Gen. David Petraeus, the U.S. commander in Iraq, who said some progress was being made.

The White House was happy. "We're pleased with the votes this week," spokeswoman Dana Perino said. But she said she was sure of "more discussion and continued debate about the war."

The next round could be on the Bush administration's upcoming war funding request, which may be as high as $200 billion. Pentagon chief Robert Gates testifies about it next week to a Senate panel. The Iraq war already has cost taxpayers more than $421 billion, the Congressional Budget Office says.

'DANGEROUS PRECEDENT'

Before Friday's vote, South Carolina Republican Sen. Lindsey Graham said it was a "dangerous precedent" for Congress to undermine a strategy "that has proven to be successful."

Reed, however, noted that Petraeus had embraced part of the Democrats' approach by announcing plans for a limited drawdown to about 130,000 troops next summer, from 169,000 now in Iraq.

He also warned of "the reality here at home: waning support for a policy that the American people feel is misguided and has been incompetently executed by the administration."

Although Friday's measure received less support than the similar one in July, Levin pointed out the earlier vote was a procedural one -- and that six senators were absent on Friday, including three likely supporters.


One Democrat who voted against the withdrawal plan on Friday was presidential hopeful Chris Dodd of Connecticut, a fierce war critic, who complained that the measure did not enforce the troop pullout with a cutoff of war funds.

This highlighted the dilemma that Levin and Reed face while trying to craft a compromise. If they manage to attract more than the handful of Republicans who have voted with them so far, they may lose fervent anti-war Democrats.

washingtonpost.com

Iraq hopes push Petrel shares up 10%

SHARES in Petrel Resources rose by 10% yesterday after the company said it was hopeful that new legislation in Iraq will soon be passed, allowing it to explore for oil and gas.

Petrel, backed by exploration industry veteran John Teeling, is looking to

explore a 10,000sq km region in the western desert of the country called Block 6. It cannot undertake full exploration of the field without the passing of the Hydrocarbon Law by the Iraqi government.

Shares in Dublin-based Petrel, which is listed on London’s Alternative Investment Market, rose 11.5p (16.5c) to 126p, giving the company market value of £84 million (€120m).

Petrel managing director David Horgan said Iraq was one of the last great under -explored, underdeveloped onshore oil provinces left.

“There is no current oil and gas opportunity to match Iraq,” Mr Horgan said yesterday. “The undeveloped proven and probable reserves alone are immense, let alone the unexplored deeper horizons, which have proven to hold massive reserves throughout the wider region.”

Petrel has been operating in Iraq for a decade and said it now had a good relationship with the Ministry of Oil, which awarded it a contract in 2005 to develop the Subba and Luhais oil fields.

Mr Horgan said although the security situation remained dangerous, the company had not experienced difficulties. “We have had no direct incidents and have enjoyed the co-operation of local communities,” he said.

“Though political stability remains elusive, there is no uncertainty over the fact that Iraqi oil must be developed. Iraq needs it, but so too does the rest of the world.”

Petrel released its interim results yesterday, showing a loss of €304,000. It had almost €20m in the bank at the end of June.

http://www.irishexaminer.com/irishex...290-qqqx=1.asp

The Ministry of Finance is studying the possibility of a limited tax exemption

The Ministry of Finance is currently studying the possibility of exempting employees with first class salary of 700 thousand dinars from tax.

The Finance Minister, Jabr Baqir Al-Zubaidi, said in press statements recently," The intention is to exempt employees with limited -income and specifically those with the first-class for the 10th stage from taxes," confirming that the issue was raised to the Cabinet and it was decided to form a committee for this purpose.

Al-Zubaidi pointed out that the proposal will not exempt ministers, members of the Parliament, general managers and owners of private degrees from taxes. It should be noted that the Ministry of Finance conducted amendments to the career grades from the fifth until the tenth as a contribution to support employees with limited income.

The Ministry of Finance is studying the possibility of a limited tax exemption | Iraq Updates

Bourse index rising in Iraq by 0.097%

Iraqi bourse index went up during Thursday's session by 0.097% to settle at 38.919 points. The circulation witnessed a rise in the prices of shares of most banking, industrial and agricultural companies, while the index of the hotel sector dropped and the insurance and investment sectors witnessed no circulation.

The number of shares traded were more than 599 million shares worth over 829 million dinars ($ 668 thousand) achieved through the implementation of 231 deals. Foreign investors participated in Thursday's circulation through the implementation of 11 contracts in the banking, industry and agriculture sectors where the number of shares traded was more than 9 million shares at a value exceeded 11 million dinars.

The shares of 27 shareholding companies listed in the Iraq bourse were traded: 12 banking companies, 3 service companies, 9 industrial companies, two hotel companies and one agricultural company.

In the banking sector, the shares of 12 banks were circulated; the shares' price rates of six of them went up: the Iraqi National Bank by 4.3%, the Bank of Mosul by 4.3%, the Bank of Basrah by 4.1%, the Bank of Baghdad by 4%, the Bank of Babel by 3.8% and the Commercial Bank by 3%, while the shares' price rates of Dar Al-salam Bank fell by 0.8% and five banks maintained the same price rates of their shares.

In the services sector, the shares' price rates of the Iraqi land transport company decreased by 2%, while Al-Maamurah Real Estate Company and Baghdad Company for Car Services maintained the same price rates shares of the previous session.

The industrial sector has witnessed the circulation of nine industrial companies' shares; the price rates of three of them increased: Baghdad Company for Carbonated Drinks by 4.3%, Al-Hilal industrial Company by 4%, and finally the Chemical Industries by 2.8%, while the shares' price rates of three companies went down.

The hotel and tourism sector witnessed a decrease in the price rates of Tourism Investment Company's shares by 3.7%, while Babylon Hotel maintained the same rate of the previous price.

In the agriculture sector, only the shares of Altherar Company for agricultural production were circulated and their price rates went up by 20% that is 100 fils per share, which was the highest rate of increase at Thursday's session.

The bourse witnessed trading the shares of 27 companies out of 93 enlisted companies; the price rates of ten companies increased, while the price rates of the shares of six companies dropped and 11 companies maintained the same rates of the previous prices.

Bourse index rising in Iraq by 0.097% | Iraq Updates

Selling oil to Jordan at special price will improve situation of Iraqi refugees- officials

Selling Iraqi oil to Jordan at lower prices will help improve the situation of Iraqi refugees and reduce "burden" on their host country, an official spokesman for the Iraqi government, Ali al-Dabbagh, said on Saturday.

The Iraqi cabinet on Tuesday approved a further reduction of $4 per barrel in the price of crude oil sold to Jordan. Under a memorandum of understanding signed between the two countries, Jordan will buy Iraqi oil at a special price, which is $18 lower than international market prices, al-Dabbagh explained.

In statements to the independent news agency Voices of Iraq (VOI), an advisor to the Iraqi prime minister for oil affairs, Tamir al-Ghadban, said the initiative is meant to boost bilateral relations between the two countries. "There are several political and economic motivations behind the agreement, which will alleviate the burden of Iraqi refugees on Jordan," al-Ghadban indicated.

"This will undoubtedly ease the suffering of Iraqis in Jordan," he added.
Meanwhile, a political advisor to the premier, Sadiq al-Rikabi, said, "The move will have a positive effect on Iraqi refugees in Jordan," refusing to reveal whether the memorandum was part of a "bargain" to elevate the situation of Iraqi refugees.

A media spokesman for the Iraqi Ministry of Oil, Asem Jihad, told VOI that Jordan imports 70,000-100,000 barrels of Iraqi oil a day. "This amount is likely to increase as we are expected to supply Jordan with 30% of its requirements of crude oil," he added.

According to statistics released by the United Nations High Commission for Refugees (UNHCR), an estimated number of 700,000-800,000 Iraqis are currently living in Jordan and struggling to obtain residency and work permits.

Selling oil to Jordan at special price will improve situation of Iraqi refugees- officials | Iraq Updates

The opening of a new fuel station at Albterah in Maysan

Director of the petroleum products company in Maysan, Ali Warid, opened, on Wednesday, a new private fuel station at Albterah, 15 km west of the city of Amarah in Maysan.

Ali Warid said on the sidelines of the opening ceremony of the new station, " this station will be added to the stations built in the province and they are (25) stations divided on districts and respects in addition to the center of the province."

Maysan governorate is witnessing these days a remarkably congestion on fuel stations; Owing to the lack of fuel stations compared with the number of vehicles entering the province, in addition to the lack of oil derivatives supplied to these stations due to the stopping of Maysan liquidator from work for several days for maintenance.

Warid added that during the past two years alone, "(10) stations were constructed, and this figure is higher than what had been constructed during half a century in the province." He pointed out that the opening of these stations and their entry into service "will help reduce congestion at fuel stations in the province."

Maysan governorate had witnessed, several months ago, the lay of the foundation stone for a large refinery with the capacity of more than (100) thousand barrels a day and a repository of oil derivatives with the capacity of (60) million liters at Albzarkan east of the town of Amarah, the Center of Maysan governorate, and which lies 390 km south of the capital Baghdad.

The opening of a new fuel station at Albterah in Maysan | Iraq Updates

Oil revenue 85 percent of '08 Iraq budget

Iraq's finance minister said oil sales will make up 85 percent of next year's budget -- a decrease from this year's budget, which is running at a deficit.

Baqr Jabar al-Zubaidi said the remaining 15 percent would come from taxes and other exports, the Ishraqat Al Sadr newspaper reports, as the state attempts to decrease its oil receipt dependence and diversify revenue.

Iraq's oil sales funded 93 percent of the current budget and 97 percent of the year before, Al-Sabaah reports.

Zubaidi, however, said the current budget was based on oil exports of 1.9 million barrel per day, but real exports are about 1.5 million bpd.

"The Oil Ministry will increase the amount of oil exports during the second half of this year," he said.

Oil revenue 85 percent of '08 Iraq budget | Iraq Updates

Russian-Iraqi commission to meet in December

The Russian-Iraqi intergovernmental commission on trade, economic, scientific, and technological cooperation will convene in December, a spokesman for the Industry and Energy Ministry said Thursday.

The decision was taken following a meeting between acting Industry and Energy Minister Viktor Khristenko and Iraqi Foreign Minister Hoshyar Mahmud Zebari who are co-chairmen of the commission.

"We regard the work of the Russian-Iraqi intergovernmental commission as a tool that is capable of restoring mutually beneficial relations in all areas of economic cooperation and return to the 'achievements' that we had, " the spokesman quoted Khristenko as saying.

The parties also agreed to hold a bilateral meeting at the expert level in October prior to the meeting in December.

Khristenko said cooperation between the countries involved oil and gas production, construction, electric power industry, machinery and military technical sector.

The Russian minister added that positive economic relations could be an impetus to the settlement of Iraqi debts to Russia estimated at some $10 billion.

Russian-Iraqi commission to meet in December | Iraq Updates

Petrel commits to Iraq

The UK based Petrel, an oil company which focuses on operations in Iraq, has revealed its interim pre-tax losses have increased to around $420m, reported the Financial Times.

But the firm is writing off its present overheads and stated that its longer-term involvement in the war-torn nation would pay off.

Petrel presently services oil fields on behalf of Iraq's Ministry of Oil and expects to increase its presence in the country.

Petrel commits to Iraq | Iraq Updates

Saturday's meeting in New York to discuss the reconstruction of Iraq

Major countries, donor parties and Iraq's neighbors will meet at the United Nations headquarters in New York on Saturday, to discuss ways to rebuild the devastated country where acts of violence and political disputes have aborted so far the international efforts.

This international forum, held at the ministerial level before the meetings of the General Assembly next week, will examine many of the Iraqi problems, such as internal politics, regional dialogue and helping the reconstruction.

Organizers said the meeting is a continuation to a previous international conference on Iraq held earlier in Sharm el-Sheikh in Egypt in May. The meeting will be chaired by United Nations Secretary-General Ban Ki Mun and Iraqi Prime Minister Nouri Al-Maliki; also, it is expected that 20 countries will join the forum on Saturday afternoon, including the five permanent members of the Security Council ( United States, Britain, France, China and Russia).

Also, eight of the Iraqi neighboring states were invited to the Forum, namely Saudi Arabia, Bahrain, Egypt, Iran, Jordan, Kuwait, Syria and Turkey in addition to the European Union, the Arab League and the Organization of Islamic Conference. The World Bank and the International Monetary Fund will be there as an observer.

The meeting will first consider ways to implement the decision to grant greater role for the United Nations in Iraq, made by the UN Security Council on August 10 in its resolution No. 1770. Under this resolution, the United Nations representative in Iraq, who was recently appointed, Staffan de Mistura, and the United Nations Mission in Iraq must "if circumstances permit" provide "advice, support and assistance" to the Iraqi government in many political, electoral, constitutional, legal, economic and diplomatic areas. It is assumed that such assistance should extend to sectors such as humanitarian action, the promotion of human rights and the return of some 54 million refugees and their reintegration. The United Nations is also charged with helping the Iraqi government through "facilitating regional dialogue."

Ban Ki Moon said that the United Nations would play the role of mediator to promote dialogue internally among the various Iraqi parties and externally with the neighboring States.

Lynn Pasco, Assistant Secretary-General of the United Nations in charge of political affairs, said "the United Nations wants to do everything it can to help Iraq, depending on the security situation and depending on what the Iraqis themselves want to do."

He added, "Even with a modest increase in the staff of the United Nations on the ground, we can do more for Iraq in the humanitarian field for example, but also in facilitating dialogue and reconciliation." He pointed out that "this is an urgent necessity for Iraq, and it is mastered by the United Nations elsewhere in the world."

The meeting will seek to progress in the "International Covenant to Iraq." The officials in 50 countries endorsed in May in Sharm el-Sheikh this five-year plan, which was launched in July 2006 by Iraq and the United Nations with the support of the World Bank to strengthen security and promote economy in Iraq.

It was scheduled for Ibrahim Ghambri, Special Adviser of Ban Ki Moon, to submit to the International Covenant to Iraq a report on the needs of Iraq in the humanitarian field, reconstruction, development and to determine whether the donors had fulfilled their pledges.

Saturday's meeting in New York to discuss the reconstruction of Iraq | Iraq Updates