Thread: Iraq/Dinar News. before Febuary 2nd 2006

Big Shell Iran deal could bring U.S. sanctions
Officials say they will likely review Shell's deal with Spain's Repsol to develop Iran's biggest natural gas field.January 29 2007: 5:41 PM EST

WASHINGTON (Reuters) -- A preliminary multibillion-dollar deal to develop a giant Iranian natural gas field signed by Royal Dutch Shell would likely trigger a review by U.S. officials to see if it requires sanctions, a State Department official said on Monday.

Shell on Monday said it signed a deal with Iran in conjunction with Spain's Repsol to develop South Pars, the OPEC member's biggest natural gas field, despite growing U.S. pressure not to invest in Iran.

The U.N. Security Council unanimously OKs sanctions against Iran. CNN's Richard Roth reports (December 23)

U.S. officials at some point would likely review the deal to see if sanctions should be triggered by the Iran-Libya Sanctions Act, State Department spokesman Sean McCormack told reporters at a press briefing.

"The U.S. has on the books various laws with respect to investment in the Iranian oil and gas sector," McCormack said.

"The people who deal with those laws on a daily basis in their application I'm sure will take a look at this particular deal," he said.
Iran admits nuke spat hurts oil - report

Shell said it was still a year away from a final decision on whether to proceed with the project. (Gotta R/V and get our money and run)
The Iran sanctions measure, which took effect in 1995, requires the government to impose sanctions on foreign companies that invest more than $20 million a year in Iran's energy sector.

However, no companies have actually been sanctioned by the law, according to U.S. congressional researchers.

The State Department spokesman declined to comment whether Shell's deal will actually trigger sanctions.

"I'm not even going to begin to try to speculate in terms of the application of the law," McCormack said.

The Clinton administration decided to waive the law after finding that a $2 billion contract signed in 1997 by France's Total (Charts), Russia's Gazprom and Malaysia's Petronas violated its provisions, citing "national interest" concerns.

South Pars is Iran's largest energy project, according to the Energy Information Administration, and has attracted more than $15 billion in investment. Sales from the field could earn Iran up to $11 billion a year over 30 years, according to Iran Oil Ministry figures cited by the EIA.

Iran has the world's second-largest natural gas reserves behind Russia.

Meanwhile, key lawmakers have warned that they would insist that the Bush administration invoke sanctions on China if Beijing pursues an agreement to develop Iranian gas fields.

The two countries in December announced a preliminary deal, believed worth $16 billion, for China to invest in Iran's North Pars natural gas field.

"The administration needs to enforce the Iran Sanctions Act to make sure that companies that invest in Iran's energy sector pay a painful price in relations with the United States," said Democratic Rep. Tom Lantos of California, new chairman of the House Foreign Affairs Committee, at a recent hearing.

Shares of Shell (Charts) closed down 1.0 percent on the New York Stock Exchange Monday.

Major oil producers have taken a big hit over the last month. Shell is down 4.6 percent, while Exxon Mobil (Charts) is down 4.48 percent. Chevron (Charts) has fallen 2.7 percent, while BP (Charts) has declined 6.4 percent.

Time is short' for Iraq turnaround
Washington/Baghdad, 31 January 2007 (Gulf News)

The admiral nominated to lead US forces in the Middle East said yesterday the previous US strategy in Iraq was not working and "time is short" to implement an alternative.

Admiral William Fallon, who has been named to replace General John Abizaid as head of the US Central Command, said: "I believe the situation in Iraq can be turned around but time is short."
Stabilising Iraq will require "new and different actions" to improve security and promote political reconciliation, Admiral Fallon told the Senate Armed Services Committee at his confirmation hearing.

In Iraq, bombers killed 36 people in two attacks on Shiites commemorating Ashura yesterday amid heightened tensions between factions.

Four more pilgrims were killed in an ambush in Baghdad on the final day of the week-long annual mourning rite. Also in Baghdad, mortars rained down on the Sunni district of Adhamiya, killing 17 and wounding 72, police said.

Fearing a possible strike by insurgents, Iraqi authorities had deployed 11,000 police and soldiers in Karbala.

Glenn Beck tonight at 7p and 9p ET
on Headline Prime
Wednesday's show


Is Iran attacking U.S. troops in Iraq? Glenn discusses the allegations, and asks if peace stands a chance if Iran and Iraq are working together.
"Glenn Beck" airs daily at 7 p.m. and replays at 9 p.m. and midnight. (All times Eastern

Anyone Catch the show?

January 31, 2007
The President's New Military Strategy in Iraq
by Mackenzie Eaglen and James A. Phillips
WebMemo #1333

The President's revised strategy in Iraq is comprised of three central prongs: military, political, and economic. Many are asking what is different about the military mission in Iraq after the President announced an additional 21,000 U.S. soldiers and Marines were needed in Baghdad. This new strategy is a move away from what Senator McCain has labeled the "whack-a-mole" approach that placed a high priority on killing or capturing insurgents through search and destroy missions. Instead, the new mission will focus on protecting civilians from insurgent attacks, terrorist bombs, and sectarian militias and standing up Iraqi forces. It is an "oil stain" strategy that envisions the gradual expansion of secure areas, which should undercut the appeal of sectarian militias and build support for the government. This strategy, while risky, presents the best chance for moving forward in Iraq and should be given the chance to prove its mettle.

While the Iraqi Security Forces have grown in size and effectiveness, the levels of violence with which they must cope have also continued to increase. There are also more threats from assorted sources, including insurgents, terrorists, militia members, criminal gangs, foreign Islamic radicals, and those conducting sectarian violence. The changing threats in different parts of the city posed by up to 23 different militia and insurgent groups demand varied approaches for each area.

During recent congressional testimony, General David Petraeus, the incoming U.S. military commander in Iraq, outlined what has changed regarding the U.S. military's mission in Iraq. General Petraeus noted that the military's mission "will be modified, making security of the population, particularly in Baghdad and in partnership with Iraqi forces, the focus of the military effort." With Iraqi forces in the lead whenever possible, the U.S. military's primary mission is now to provide security within Baghdad by embedding forces within Iraqi units and remaining stationed in key neighborhoods after they have been secured so that violence does not re-emerge. General Petraeus defined "secure" as gaining control of the local terrain or feature (e.g., a building) and protecting it from the enemy. Once an area is protected, security forces will remain in the area so that rebuilding and reconstruction can then take place. The other primary U.S. military mission in Iraq is to train and equip Iraqi security forces. This will continue as the military embeds additional troops within Iraqi units.

In the absence of security, many ordinary Iraqis have turned to militias for security, which has only contributed to instability and weakened the Iraqi government. The theory behind providing security first is akin to Maslow's "hierarchy of needs." Iraq's political leadership may feel that any future political efforts are limited without a secure capital. Improving security in Baghdad may be a precursor to the Iraqi government taking additional political steps to increase its institutional capacity.

As Stephen J. Hadley, the President's National Security Advisor, wrote in a January 29 Washington Post commentary, "Ultimately, a strategy for success must present a realistic plan for bringing security to the people of Baghdad. This is a precondition to advancing other goals." These include training and strengthening Iraqi security forces and making the necessary politically difficult decisions such as amending the constitution, passing an oil revenue-sharing law, and strengthening government institutions.
Lessons Learned: Operation Together Forward

Part of the reason additional U.S. and Iraqi forces are needed and the military mission had to be altered is that previous efforts were unable to sustain peace in Baghdad. The Iraq Study Group report summarized why the mission change was needed after "Operation Together Forward" did not produce lasting security. U.S. forces, in partnership with Iraqi security forces, attempted to secure Baghdad in August 2006 by focusing on individual neighborhoods. The Study Group stated that violence in Iraq increased dramatically because insurgents and enemies simply left a neighborhood prior to the military's arrival only to return after the military's departure.

The Iraq Study Group report went on to state that "security efforts will fail unless the Iraqis have both the capability to hold areas that have been cleared and the will to clear neighborhoods that are home to Shiite militias. U.S. forces can 'clear' any neighborhood, but there are neither enough U.S. troops present nor enough support from Iraqi security forces to 'hold' neighborhoods so cleared."

This time, the Maliki government has taken a much harder line against the Shia militias, especially the Mahdi Army of radical cleric Moqtada al-Sadr. More than 600 members of that militia, which has risen twice against coalition forces, have been captured and jailed, including one of al-Sadr's key lieutenants. This is an important indication that the Maliki government will not fall back on its "catch and release" policy.

Will It Make Any Difference?

While U.S. forces can temporarily help secure Baghdad, Iraqi security forces must commit to the mission for a prolonged amount of time in order to sustain security. The additional U.S. forces will serve only as a short-term fix unless they are accompanied by Iraqi national reconciliation bringing more Sunnis into the political process and a wider effort to bolster the Iraqi economy. The additional U.S. and Iraqi forces in Baghdad will be able to achieve their mission only if the larger three-pronged strategy moves forward simultaneously.
The revised U.S. strategy in Iraq still entails great risk. As General Petraeus and General Peter Pace, Chairman of the Joint Chiefs of Staff, have noted in recent congressional testimony, the military part of the overall plan in Iraq cannot succeed without political and economic efforts working in tandem with the military mission. The Senate confirmed General Petraeus, by a vote of 81–0 on January 26, as the chief overseer of implementing this revised military strategy. He believes that he can accomplish this difficult mission but has vowed to notify Congress and the American people if he comes to doubt that this is possible.
General Petraeus is the right man for the right job at the right time. He is an innovative and resourceful officer who has extensive experience in Iraq, having spent two and a half of the past four years there. Most recently, he supervised the writing of the U.S. Army's new manual on counterinsurgency operations. Now that the Senate has confirmed him, he should be provided the opportunity, time, and resources to test the feasibility of the new Iraq strategy.

Originally Posted by AlwaysDreaming

MENAFN) The Iraqi Minister of Oil that Iraqi oil will be divided equally to the Iraqis, since the final draft of the oil law had been completed and was put on the Energy Commission to the Council of Ministers, and were unanimously approved by the Committee with some amendments in it. It is noteworthy that some amendments will also take place when the draft to the Council of Ministers for approval, which will be submitted to the House of Representatives for the passage of legislation after the unanimous. The minister also noted that the resources derived from oil sales will go to fund one centralized and distributed to all Iraqis in the provinces, prefectures and the proportion of the population. On the other hand, the law will restore activity to the National Oil Company, which will be responsible for the development of the fields to increase production and exports, where would the oil industry, however, the basic competencies Iraqi keen to provide expertise for the Iraqi people. It should be noted that the law proved essential foundations, and also develop policies and plans to develop the oil all regions of Iraq in a balanced way.

Thanks for the post Buddyboy and for the translation AlwaysDreaming. This is good news.... or is it? I'm hoping that some of you legal experts can help me with this dilema. I remember seeing an article a few weeks ago talking about a conflict between the HCL and the Iraqi constitution as regards the percentages of the distribution of the oil money. As we see in this article posted by Buddyboy the HCL dictates that the oil money is distributed evenly between the Kurds, Shiites and Sunnis. However, my understanding is that the Constitution states that the distribution is 40% to the Kurds and then the rest is somehow cut between the shiites and the Sunnis. I certainly hope that I'm wrong about this. However, based on how they have run everything else it would not surprise me if they didn't realize that these differences were issues until recently. I'm hoping that someone with more legal background can address this. I hope that this has already been addressed by the Iraqis and that amendments to the Constitution will not be required. If so, we could be looking at MONTHS of delay of the enactment of the HCL and FIL.

Let me know what you think.

Brabus

OK 1290 i hope this is our number , now r/v at 1.29
wouldn't that be nice





Announcement No.(854)

D.G. of Foreign Exchange Control

The 854 daily currency auction was held in the Central Bank of Iraq day Thursday 2007/ 2/1 so the results were as follows :

Details Notes
Number of banks 16 -----
Auction price selling dinar / US $ 1290 -----
Auction price buying dinar / US $ ------ -----
Amount sold at auction price (US $) 86.490.000 -----
Amount purchased at Auction price (US $) ------
Total offers for buying (US $) 86.490.000 ----- Total offers for selling (US $) ------ -----









D.G. of Investments

Daily price Bulletin buying and selling Thursday 2007/2/1

Currency
Currency Code
Selling Price In IQD
Buying Price In IQD

US Dollar
USD
1292.000
1290.000

European Euro
EUR
1679.342
1678.502

British Pound
GBP
2533.741
2532.474

Canadian Dollar
CAD
1095.658
1095.110

Swiss Franc
CHF
1036.087
1035.569

Swedish Krona
SEK
185.491
185.398

Norwegian Kroner
NOK
206.370
206.267

Danish Krone
DKK
225.224
225.112

Japanese Yen
JPY
10.676
10.671


The above price represent reference rate and does not from any commitment on the Central Bank of Iraq.

Originally Posted by day dreamer

OK 1290 i hope this is our number , now r/v at 1.29
wouldn't that be nice





Announcement No.(854)

D.G. of Foreign Exchange Control

The 854 daily currency auction was held in the Central Bank of Iraq day Thursday 2007/ 2/1 so the results were as follows :

Details Notes
Number of banks 16 -----
Auction price selling dinar / US $ 1290 -----
Auction price buying dinar / US $ ------ -----
Amount sold at auction price (US $) 86.490.000 -----
Amount purchased at Auction price (US $) ------
Total offers for buying (US $) 86.490.000 ----- Total offers for selling (US $) ------ -----

It would be very nice DD!!

Originally Posted by orrkallen

Hello Friends!
My interpretation of this is, the draft is now going to the whole Cabinet- whose fancier title is Council of Ministers. Upon their approval it will then be passed on to the Parliment/House of Representatives for the 3 readings, discussion and subsequent vote. From there we wait for the infamous listing in the "Official Gazette". The article is great news but we have a little ways to go yet before the HCL is a completed deal- IMHO.

I am 100% behind you, and I think it will be done by the 7th February because of WTO day.

Another week and Wooooooooot RV at 1.29

Originally Posted by mustang sally

Is this what we are expecting to be vote on this Saturday in Parliament???

I think on Saturday the Budget will be voted .... Correct me if I am wrong

Originally Posted by mountaingirl

I believe Saturday is for the budget to get approved.

Last Saturday's discussion broke down into petty bickering and the Kurds walked out so discussion and possible vote was put off until this Saturday. No guarantee of approval or a vote. These guys have to get something done!