IRAQ IMPORTANT DATES
9 Sept 2010 End of Ramadan
27-28 September Oil & Gas Conference Istanbul, Turkey
24 October 2010 Iraq National Census
December 2010 DFI Account extended
December 2010 3rd Review Stand-by-agreement (IMF)
March 2011 Kurdistan Regional Elections
March 2011 Arab League Summit – Baghdad
Just last week the government of Iraq announced the budget for 2011 would be approximately 90 trillion dinars during discussions with the cabinet. It does not really matter what the amount is as you have no government to enact any new legislation as the government is nonexistent. Plus, with the current report of oil exports down in the month of July to 1.8 bpd the government is going to have to recalculate the 2011 budget. The government has a target of 12 million bpd in six to seven years which I would think ten years is more realistic time frame considering the infrastructure of Iraq is in dire shape. The article mentions the lower export totals was due to domestic consumption and oilfield maintenance. I would also add attacks on the pipeline especially in the northern areas.
We all know the the northern Iraq pipeline operated by the North Oil Company, has been shutdown since Saturday due to technical reasons. The pipelines and the refineries are in bad shape and officials have stated the pipeline should be up and running on Thursday. There was more problems for the North Oil company has five employees were killed in a robbery as they were traveling to the work site with 453 million in Iraqi dinars. You have to wonder with sending a large amount of cash you would think they would have armed security guards traveling with them. In this case they had no security traveling with the North Oil Company employees.
The Iraqi and Kuwaiti government are going to try agin and solve their problems of war reparations and land disputes between the two countries. The Kuwaiti Ministry of Foreign Affairs has stated he has no intention of giving up land that is owned by Kuwaiti’s that are on Iraqi land. Another dispute that needs to be resolved if you ever want to be released from U.N. resolutions of Chapter VII. The iraqi government is purposely slowing down the process of handling over documents to the properties to the land owners whom are Kuwaiti’s.
Dr. Iyad Allawi has left Russia after his meeting with the Russian President and also had a meeting with the officials of the Crescent Petroleum Company, of U.A.E.. The Russian Oil Company Rosneft, has invested $630 million dollars into Crescent Petroleum Company to drill for Gas in Sharja, U.A.E.. Next you will see both of these Oil Companies in Iraq has the U.A.E. is the largest state to invest in Iraq to date.
The Oil and Services Company Petrofac, U.K. has been doing services for an unidentified international oil company in Iraq. They are reporting growth profits this year. We will keep a eye on this company and hopefully learn which international Oil Company are getting there services.
I have mentioned this and I have said that the Cleric Ayatollah Sistani, does not get involved in politics. The cleric has sermons to perform on Fridays then worry about Iraqi politics.
Central Bank of Iraq Governor Dr. Sinan Al-Shibibi is calling for international banks to come to Iraq and partner with Iraqi banks. Al-Shibibi said “We are calling for them to come and help develop the financial system, this is the objective. I would prefer that they establish standalone branches but even if they do a partnership with Iraqi banks that would be fine.” When you have family owned run banks it is going to be tough to partner and let an outsider look at everything the bank has been doing for the last six years. I would like to see a western stand alone banking operation to show and demonstrate the banking practices of the 21st century.
By the way Prime Minister did send a letter of apology to Dr. Iyad Allawi.
This is all I have for now…it has been a long day again.
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American Contractor has been living in the Middle East and Central Asia since 2003.
Iraq’s banks urge privatisation of state lenders
MPs say Shia religious authority has not intervened in govt crisis
Five oil workers killed in armed robbery
Iraq oil exports slip in July to 1.8 bpd
Iraq-Turkish pipeline flow halted
Kuwaitis to get Iraq land
Rosneft to invest $630m in UAE
IRAQ BOOSTS PETROFAC