Thread: Archive Latest News - Dinar Think Tank - 27/08/08 - 15/01/09

Update......

Iraq reaches oil accord with China, as West lags

Iraq and China have agreed on the terms of a $3 billion oil service contract, the Iraqi oil minister said Wednesday, announcing his country's first major oil contract with a foreign company since the fall of Saddam Hussein.

The oil minister, Hussain al-Shahristani, warned that time was running out for big Western oil companies, which have pressed for years for Iraqi contracts, to seal even short-term deals that had been expected to mark their return to Iraq, which has the world's third-largest oil reserves after Saudi Arabia and Iran.

Iraq and the Chinese state-run oil company, CNPC, have agreed on the renegotiated terms of a deal signed in 1997 to pump oil from the Ahdab oil field, Shahristani said. CNPC is the biggest oil and gas company in Asia.

''Finally we have reached an agreement,'' Shahristani said. ''The total investment of the project is expected to be about $3 billion.''

Iraq has toughened the terms, changing the contract to a set-fee service from the production-sharing agreement signed under Saddam.

Iraq needs billions of dollars of investment in its energy sector after years of war and sanctions. With high oil prices and strong competition for access to some of the world's cheapest oil to produce, Iraq has been negotiating from a position of strength.

Under the revised contract, Ahdab will produce 110,000 barrels per day, up from the previous target of 90,000 barrels per day, Shahristani said. The first output would come in three years, and the field should pump for 20 years.

CNPC would own 75 percent of a joint venture to be set up for the contract and Northern Oil of Iraq would own 25 percent, Shahristani said. The value of the contract would be reviewed every quarter, he said.

The agreement is pending final approval by both governments.
The probability of a series of short-term service contracts with oil majors was dropping after delays in signing, although negotiations are continuing, Shahristani said.

Iraq wanted six contracts to increase oil output by 100,000 barrels per day, each to be signed in June and put into effect within a year.

The firms that have been negotiating deals are Royal Dutch Shell; Shell in partnership with BHP Billiton; Exxon Mobil; Chevron with Total. A smaller consortium of Anadarko, Vitol and Dome had negotiated for another deal but Anadarko dropped out this month.

Iraq still hopes to increase production by 500,000 barrels per day by the mid-2009, Shahristani said. ''We are working at increasing our production, hopefully by another 500,000 bpd, by the middle of next year,'' he added.

Iraq pumped around 2.4 million barrels per day in July, according to a Reuters survey.

A long-delayed draft oil law to set the framework for foreign investment was unlikely to be approved in parliament in the near-future, Shahristani said.

''Different parliamentary blocs still have serious differences about the law,'' he said. ''I have not heard anything new from the parliament to make me expect that the law will be passed any time soon.''

But Iraq was going ahead with new deals anyway under existing legislation, he said.

Disputes with the regional government in Kurdistan have hobbled the progress of the law. There had been no progress in resolving differences between Baghdad and the Kurdish regional government, Shahristani said.

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Abdel Mahdi: Elections of Provinces’ Councils will be carried out this year

Abdel Mahdi: Elections of provinces’ councils will be carried out this year

“The elections of the provinces’ councils will be done this year”, Adel Abdel Mahdi, the Iraqi Vice President said in his speech on the occasion of inaugurating the Imam Ali Bridge in Kufa yesterday.

“The Council of the Representatives will pass the law and the elections will be carried out before the end of this year. We have no other choice”,he added.

PUKmedia :: English - Abdel Mahdi: Elections of provinces’ councils will be carried out this year

Turkey-Iraq trade volume expected to reach $10 bln: Minister
Turkish State Minister Kursad Tuzmen said In the first six months of 2008, the trade volume between Turkey and Iraq increased by 50 percent when compared to the same term last year."

Turkish State Minister Kursad Tuzmen said Friday Turkey would reach a trade volume of 10 billion USD with Iraq by the year 2010.

Tuzmen received the Iraqi Planning Minister Ali Baban and an accompanying delegation in Ankara.

Speaking at his meeting with the Iraqi delegation, Tuzmen stressed that "the trade volume between Turkey and Iraq increased rapidly in the recent past."

"The trade volume between Turkey and Iraq was worth 3.5 billion USD in 2007. In the first six months of 2008, the trade volume between Turkey and Iraq increased by 50 percent when compared to the same term last year," Tuzmen noted.

Transient business between Turkey and Iraq was worth 1.5 billion USD last year, Tuzmen said.

Turkish contractors were involved in projects worth 4 billion USD after the war in Iraq, Tuzmen said. "These Turkish contractors assumed 400 projects in Iraq. In the past two years, there has been a significant decline in the number of projects assumed by Turkish contractors in Iraq," Tuzmen underscored.

The decline in the number of projects assumed by Turkish contractors in Iraq is mainly due to the slow progress payment, Tuzmen said.

Tuzmen presented a list of Turkish companies exporting petroleum products to Iraq and waiting for payments to the Iraqi Minister Baban and asked for Baban's assistance for timely payment.

Tuzmen invited Baban to the first International Logistics Conference to be held in southern province of Mersin between October 14th and 15th.

As the Iraqi government, we look at Turkey as a brotherly country, Baban stressed.

Relations between Turkey and Iraq are not merely developing in commerce but all other areas as well, Baban said.

Turkey is an important strategic and commercial partner of Iraq, Baban said.

We are working on developing ties with Turkey, Baban said.

Turkey has always been on the side of Iraq and all Iraqis even in difficult times, Baban noted.

"We can reach a trade volume of 10 billion USD with Turkey in the upcoming term," Baban said.

"There are some difficulties and small obstacles. If we can overcome these difficulties, Turkey and Iraq can reach a trade volume of 10 billion USD," Baban added.

PUKmedia :: English - Turkey-Iraq trade volume expected to reach $10 bln: Minister

Investing begins when ..?

Continues to invest in Iraq is very slow notes indicators investment finds evidence many, even now, despite the issuance of the Investment Law No. 13 of hope in 2006 was good in this, and then formed an investment to play a regulatory role for his movement in all parts of Iraq, but what we found after two years Of approval to prepare 20% of our ambition, then we are now facing a real crisis in attracting investment strategy for the country.

But the real need now to build an effective investment strategy as we enter the fourth quarter in 2008, through the Investment Authority as follows: surveys of existing projects in both Iraq and state-owned, eight us a real need after a survey to determine levels of action in each project and its usefulness to society , And then we start talking about the ownership of each project and a Ministry for possession of the project file, whether laboratories or factories or companies .. Etc. of nomenclature

It is then we will decide the real need for investments necessary in the interim be Alaoluihalan infrastructure and production projects of strategic materials for example, obesity, and hence private enterprise services that would concentrate on projects that preceded it (brown greeting), and these lines will continue to work and steps to successful investment.

What we want to say that we are through to the wheel of anybody invest in Iraq, that Iraq is a real need for local capital investment in order to give confidence to foreign investors that the country folks working a partner coming to them to work in Iraq as well.

The need for us to recall the need to work with single-window, in the coming days publish a report issued by the World Bank in 2008, Iraq came in ranked 141 out of 178 countries in facilitating business and proof of this abhorrent bureaucracy endured by businessmen, and the quantity that Malaysia be given within 24 hours To the foreign investor work permit and consider its project within 45 days, then we are still so far lack the marketing department of investment projects, which lacks a mechanism Iraq. Iraq, included a number of exhibitions and conferences that have not been of the Iraqi economy very little.

Is it not incumbent upon the investment decision-makers in Iraq that Eetmanoa these points that we presented, and ponder it in order to support investment decisions, and progress forward.

Translated version of http://www.almadapaper.com/paper.php?source=akbar&page=107

Iraq participates in meetings of the Arab economic

Council discussed the Arab Economic and Social Council at its usual the 82 applications submitted by Iraq with a request to cancel the debt implications for the calculation of Arab States and Iraq participated in the session of the Council held a ministerial-level Arab League headquarters in Cairo, an official delegation led by Dr. Abdul farmer Sudanese Trade Minister who confirmed the existence of a request Iraqi debt cancellation Arab implications. He added that the Council's agenda included many issues and topics related to Arab affairs in addition to discussing preparations for the meetings of the Arab Economic Summit being held in Kuwait in January next year.

He said Assistant Secretary-General of the Arab League for Economic Affairs Ambassador Mohammed Bin Ibrahim Tuwaijri told reporters that the agenda of the session as well as to ensure the item on view at Iraq's request to cancel the debt of the Arab states to calculate the key themes relating to the preparation for the first summit of Arab economic and social development, which will be held in Kuwait In January next will be discussing programs and mechanisms to promote and activate the comprehensive development strategies.

Tuwaijri added that the second theme deals with the Arab free trade zone which is the centre of a permanent work of the Economic and Social Council because there is a special focus in this session to address non-tariff items include the quantity of items and cash, technical and administrative imposed on the product imported from the Arab-Arab and Arab-origin and enjoy it As a follow-up implementation of the decisions of Arab summits in this regard.

Translated version of http://www.almadapaper.com/paper.php?source=akbar&page=107

Swedish : Unlikely to achieve unity of cash Gulf by 2010
UAE Central Bank Governor: the high value of the dollar strengthens the logic of linking the currency

Dubai:<<Middle East>>
The Governor of the United Arab Emirates Central yesterday, it is unlikely to achieve the Gulf Arab oil producers, monetary unit in full by the due date for that in 2010, but the recovery of the dollar gives greater justification for holding on tying their currencies. And approved the Governor Sultan Nasser Swede, who is facing his countries with four other Gulf of the monetary unit, the existence of challenges to be overcome before the completion of the plan protracted.

Reuters quoted the swede as saying during a conference of the companies in the commercial centre of Dubai, UAE, the monetary unit will be in stages and last of these stages will be difficult. He added that if the two phases of the three stages towards currency union by 2010 would be sufficient. The last phase requires the application of similar laws in all the GCC states. In July (July) Hamad Al-Sayari said the Governor of the Saudi Arabain Monetary Agency (central bank) that the GCC countries will develop a timetable <<possible>> to put a unified currency, following a review of the 2010 target. At that time also said Rashid Mi'raaj Governor of Central Bank of Bahrain, it is unlikely that the five countries to set a new deadline of the unit this year, but added that the committment deadline would be difficult. Kuwait severed one of the six Gulf Cooperation Council, the currency's peg to the dollar, which was scheduled to continue until the currency union. The Sultanate of Oman in 2006 that it would not join the single currency. He said that the Swedish currency gains in the U.S. recently, justifying greater policy Emirates to maintain the currency link to the dollar. The dollar payment association of central banks of the Gulf following the example of seven cuts in in interest rates in the U.S. last year, which fuelled inflation, which rose to record levels. He called on economists and groups of disengagement of dollar and linked currencies of the Gulf of different basket of currencies as it did Kuwait.

Translated version of http://www.asharqalawsat.com/

Originally Posted by Seaview

Abdel Mahdi: Elections of Provinces’ Councils will be carried out this year

Abdel Mahdi: Elections of provinces’ councils will be carried out this year

“The elections of the provinces’ councils will be done this year”, Adel Abdel Mahdi, the Iraqi Vice President said in his speech on the occasion of inaugurating the Imam Ali Bridge in Kufa yesterday.

“The Council of the Representatives will pass the law and the elections will be carried out before the end of this year. We have no other choice”,he added.

PUKmedia :: English - Abdel Mahdi: Elections of provinces’ councils will be carried out this year

Hmmm - both articles released today. Bit of a contradiction in terms...

Haideri: the holding of elections during the current year has become impossible

The Chairman of the Higher Commission of Elections Faraj Al-Haideri that delaying ratification of the draft electoral law introduced UNHCR in a major crisis, and to hold elections during the current year is impossible. The Al-Haideri told a press publication of today, Friday, that elections can not be provincial assemblies before February 2009, referring to the sudden appearance versus the religious currents of a prominent liberal currents. He called the House of Representatives to expedite the passing of the bill to ensure held during January or February than in 2009, explaining that the delay adoption of the law may lead to delayed further. He said that the change occurred through the demand for registration centres in the provinces spots such as Mosul and Anbar, Diyala, in return for a qualitative change reveal the emergence of political entities that have been ratified and confirmed by the apparent decline of religious entities against the emergence of a prominent Alllberalih currents.

http://translate.google.co.uk/transl...hl=en&ie=UTF-8

Translated version of http://almalafpress.net/index.php?m=39

Kurdistan Stock Exchange to be inaugurated soon

Kurdistan Region stock exchange market will be 'soon' inaugurated in Arbil. Kurdistan Stock exchange will supported by that of Baghdad and it would work directly with world markets.

Kurdistan Stock Exchange to be inaugurated soon | Economics News | Alsumaria Iraqi Satellite TV Network

Al-Maliki says the negotiating team to sign a security agreement and appoint negotiators from his office and his advisers

Adopted Iraqi Prime Minister Nuri al-Maliki decided to change the delegation that was negotiating with the Americans to sign a long-term security agreement between Washington and Baghdad, and assigned to his national security adviser Muwaffaq Al-Rubaie.

The decision came a day after al-Maliki meeting of the ****utive Council, which includes in addition to President Jalal Talabani and his two deputies Tariq Hashimi and Adil Abdamahdi, in the absence of Talabani, who deals in the United States. The conferees issued a statement confirmed the task of making recommendations to support the Iraqi negotiator.

A source close to Maliki, told students not to Nscherasmh «life» that «the Prime Minister decided to change the negotiating team with Washington and supervised by the Ministry of Foreign Affairs, the delegation comprises members from another Cabinet Office headed by Al-Rubaie», adding that «technical reasons and other logistics required to take This decision ».

He pointed out that «previous delegation was performing well during the first days of negotiations, and was very enthusiastic to sign a negotiated agreement based on legal and constitutional accepted, but his task was fraught with many difficulties, among them that putting any point to negotiate with the U.S. delegation was called back to Political Council for National Security after each round of negotiations almost ».

The Acharali that «delegation was willing to sign the agreement on schedule. This was contrary to the demand of government and a number of political blocs which it wants more time and careful, even if it had not been finalized an agreement by the end of this year ».

The delegation headed negotiator, who replaced al-Maliki and Foreign Ministry Undersecretary Mohammed al-Haj Hammoud, and most of its members from the Legal Department in the ministry, supervised by Deputy Prime Minister Barham Saleh. The delegation began negotiating under a Declaration of Principles signed between U.S. President George W. Bush and Maliki in February (February) with the last American delegation headed by Ambassador Ryan Crocker in Baghdad.

The source revealed that «Iraqi delegation comprises all of the new National Security Advisor Muwaffaq Al-Rubaie and political adviser to Prime Minister Sadiq Rikabi, as well as a number of legal advisers in the prime minister to», pointing out that «the negotiations stopped for a brief period after the Iraqi delegation handed the American draft contains points Hamra Can not be overcome until reply ».

The issue of immunity claimed by the American side of its soldiers in Iraq, and the absence of a unified vision on both sides to the timetable for troop withdrawal, despite the agreement to include in the agreement, the most contentious points which are also obstacles to the completion of the agreement.

There were at varying periods of negotiations between Baghdad and Washington doubts expressed by a number of Iraqi officials for a lack of coordination between the delegation and the government because of discrepancies in statements between the two sides, while the statements of Foreign Minister Hoshyar Zebari (Kurd) optimistic and hasty in signing the agreement The government denies this and refers to Obstacles.

He favored the existing member Iraqi MP Adnan Aldenbos, a member of the Political Council for National Security to be «Kurdish rush behind the replacement of the Iraqi delegation negotiator», adding that «the meetings held by the Political Council for National Security witnessed a large Kurdish desire to pass the agreement in a matter of urgency and this has been denied most Political and parliamentary blocs ».

Translated version of http://www.sotaliraq.com/iraqnews.php?id=25185

Relations sour between Kurds and central government

Prime Minister Nouri al-Maliki has asked Kurdish militias known locally as peshmerqa to evacuate areas south of the “green line” demarcating the autonomous Kurdish enclave in northern Iraq.

Maliki has went as far as sending Iraqi troops to flush out the Kurdish militias from villages, towns and cities officially not part of the Kurdish region.

Iraqi troops have reportedly spread their control in the string of towns and villages in the restive Province of Diyala which the Kurds claimed as their.

Kurdish self-rule areas include the provinces of Arbil, Sulaimaniya and Dahouk but the Kurds have sent in their militias to the oil-rich city of Kirkuk and scores of villages and towns in the provinces of Mosul and Diyala.

Maliki’s move has brought almost all Arab political factions, whether Sunni or Shiite together, demanding stringent measures to curtail Kurdish ambitions.

Shiite cleric Moqtada al-Sadr, whose militia known as Mahdi Army fought both U.S. troops and Iraqi forces, has likewise thrown his weight behind Maliki.

In his latest Friday sermon, read for him by a representative in Baghdad, Sadr urged the government to hoist “the Iraqi flag in predominantly Kurdish areas” outside the Kurdish autonomous zone.

The Kurds see the move as “muscle twisting” by Maliki.

Kurdish politicians including Massoud Barzani, head of the Kurdish autonomous region, have protested the move by the Iraqi army against Kurdish areas in Diyala.

But the central government seems determined to spread its control over these areas and says troops will be deployed everywhere outside the Kurdish self-rule region.

Maliki is also reported to have even questioned budgetary allocations to Kurds which amount to 17% of the country oil revenues.

The government says the Kurds should not get more than 14% of the budget in proportion to the number of people in their areas.

http://www.azzaman.com/english/index.asp?fname=news\2008-08-30\kurd.htm