Friday, June 19, 2009

Iraq's oil contracts

Patrick Cockburn reports on the oil contracts with foreign companies about to be awarded. Contracts will be service contracts to develop six of Iraq's largest fields over 20-25 years.

There has been opposition to the terms of the deals on the part of some Iraqis, such as those working in Iraq's state-owned oil industry.

Nevertheless the contract terms are not particularly good for the international oil companies, but if they get them, they would have a foot in Iraq's oil business for future contracts.

In any case, the Iraqi government desperately needs money, hence its push to award contracts to exploit oil.

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