From the words of The Who's song, it's the same old boss: the multinational oil companies. The Iraqi oil minister at an OPEC industry seminar in Vienna said his country would accept bids on new development projects on a 75/25 basis with the minority share going to Iraq. That is the same deal Saddam Hussein gave to companies like Exxon/Mobil and Royal Dutch Shell before the invasion and occupation of his country by US forces. Previously, when oil prices were twice what they are now, Iraq was only permitting 51% shares to foreign companies. Iraq is exempted from OPEC's production caps because of war damage to its oil industry infrastructure. Thirty new wells are up for bid in the giant Halfaya field with five billion barrels of proven reserves. Iraq currently produces 2.4 million barrels per day. Plans are to increase production to 6 million a day over the next five years. If you are a cynic or even a rational nonconformist like U.S. Person, you would not argue with claims of "victory" by neo-cons because it seems the flow of Iraqi oil to the West has been secured for the foreseeable future through the use of military force. Bhuya!
Saturday, March 21, 2009
Iraq, Meet the New Boss
From the words of The Who's song, it's the same old boss: the multinational oil companies. The Iraqi oil minister at an OPEC industry seminar in Vienna said his country would accept bids on new development projects on a 75/25 basis with the minority share going to Iraq. That is the same deal Saddam Hussein gave to companies like Exxon/Mobil and Royal Dutch Shell before the invasion and occupation of his country by US forces. Previously, when oil prices were twice what they are now, Iraq was only permitting 51% shares to foreign companies. Iraq is exempted from OPEC's production caps because of war damage to its oil industry infrastructure. Thirty new wells are up for bid in the giant Halfaya field with five billion barrels of proven reserves. Iraq currently produces 2.4 million barrels per day. Plans are to increase production to 6 million a day over the next five years. If you are a cynic or even a rational nonconformist like U.S. Person, you would not argue with claims of "victory" by neo-cons because it seems the flow of Iraqi oil to the West has been secured for the foreseeable future through the use of military force. Bhuya!