Thread: Archive Latest News - Think Tank - 15/04/08 - 26/08/08

Maintaining Al Ramathia – Al Majd road finished

Ashur Public company for contractions one of Ministry of Housing and Construction units, finished project of maintaining Al Ramthia – Al Majd road in Al Muthna Province. A source in the company clarified that the length of the road is of 12.5 km and the cost of maintaining it is 785 million Iraqi dinar. The same source added that the work was carried out according to the required qualifications and in a record time. He also pointed out that some issues were added to the project such as constructing arches of tubes and temporary conversions.

Maintaining Al Ramathia – Al Majd road finished | Economics News | Alsumaria Iraqi Satellite TV Network

State personnel salaries and allocations increased

The Parliament approved the two laws of increasing salaries of State personnel and allocations of those holding advanced degrees for the purpose of achieving a better standard of living for them. This came during a meeting of the Parliament last Friday where many of the deputies also called for granting special allocations to engineers; Deputy Hassan Al-Sunaid confirmed that engineers are alarge segment and we must respond to their requirements, while Deputy Khalid Huani pointed out to the importance of the role of engineers in the process of reconstructing the country... Deputy Salim Jasur proposed the addition of a paragraph to the draft law of State personnel salaries includes the grant of allocations for professional engineers by %100. Then Presidium of the Parliament asked to vote on the bill while next week the proposal of engineers' allocations will be examined.

State personnel salaries and allocations increased

INTERVIEW - Iraq parl't sees more talks on Draft Oil Law

Iraq's government and Kurdish officials will resume talks soon to try to iron out disputes holding up a landmark draft oil law, the deputy speaker of parliament said on Tuesday.

Khaled al-Attiya, a senior member in the ruling Shi'ite Alliance, said parliament had not yet received a final draft.

Iraq has the world's third-largest oil reserves and needs billions of dollars of investment to overhaul its infrastructure and boost output after years of sanctions and war.

But the delay in approving a law to govern the industry has held back investment. Iraq produces around 2.3 million barrels per day (bpd) of oil, a fraction of its 115 billion barrels of proven crude reserves.

Officials have said drafts of the oil law have been submitted to parliament four times in the past year only to be rejected by the legislature's oil and gas committee.

"No, absolutely not. Parliament has not received any approved oil draft yet," Attiya said in an interview.

He said recent talks between the government and the regional government of the largely autonomous region of Kurdistan had focused on adopting a draft first approved by the cabinet in February 2007. There have been different drafts since then.

"Unfortunately, up to now no final decision has been reached," Attiya said.

"The Kurds will resume another round of talks in Baghdad when the prime minister returns. Many key issues, including the oil and gas law, will be discussed," he said.

Prime Minister Nuri al-Maliki is visiting Brussels this week.

Attiya blamed oil contracts signed by the Kurdish regional government with foreign firms for holding up the draft.

Baghdad claims the deals are illegal and has said it would bar companies that had signed contracts with the Kurdish region from oil deals in the rest of the country.

As a stop-gap measure, Iraq plans to award short-term oil extraction and service contracts to help boost production.

Attiya also denied reports parliament had received a draft law on establishing Iraq's National Oil Company. The oil and gas committee in parliament also confirmed no draft for the formation of INOC had been submitted.

Part of the overall draft oil law calls for the formation of a new national oil company to supervise the industry. (Writing by Dean Yates; Editing by James Jukwey)

INTERVIEW-Iraq parl't sees more talks on draft oil law | Markets | Reuters

Fifth International Rebuild Iraq Exhibition under way in Jordan

Hundreds of specialized firms from 20 countries are taking part in the 5th International Rebuild Iraq Exhibition taking place in the Jordanian capital, organizers said Tuesday. At least three German construction companies are taking part in the four-day gathering of local and international executives and officials charged with implementing reconstruction projects, said Mohammad Ziyadat, managing director of EXPO Jordan, the organizing firm.

"This year's expo, the fourth to be held in Jordan, focuses on items and materials used in construction, energy and security spheres," Ziyadat told Deutsche Presse-Agentur dpa.

"We believe that contracts signed during this event stand a better chance of being implemented, given the improved security inside Iraq," he said. Lack of protection had been the stumbling bloc to the implementation of about 600 million dollars worth of deals that were concluded during previous exhibitions, Ziyadat said.

Fifth International Rebuild Iraq Exhibition under way in Jordan : Middle East World

Kurds Snatch New Concessions on Oil and Militias - THIS IS A FANTASTIC ARTICLE

Iraqi Kurds have won two major concessions from the central government in Baghdad one on oil and the second on the state of their militias known locally as Peshmerga.

Regarding oil, the government of Prime Minister Nouri al-Maliki has agreed to give the Kurdish regional administration in the north the right to sign oil development deals on its own.

This is one of the biggest concessions the government makes for the Kurds and meets one of their long-standing and most important demands, analysts say.

The deal, they said, comes as Maliki is under immense pressure not only from his former Shiite allies like Moqtada al-Sadr but also from the disgruntled Sunni parties.

According to a new draft of the Oil and Gas Law, which the parliament has yet to pass, Maliki has accepted a Kurdish request to adopt a former version which gave them additional rights.

Under the new agreement, the 15 oil deals signed by Kurds with foreign firms would be legal while previously the Oil Ministry denounced them as null and void.

The agreement may signal to the hitherto reluctant foreign oil firms to start developing fields in Iraqi Kurdistan in earnest.

Maliki has also agreed to integrate Kurdish militias into the country’s security apparatus, a move that will add them to the payrolls of the interior and defense ministries.

But Kurdish militiamen, registered in the Kurdish regional government, number more than 190,000, almost as many as the number of troops under Iraqi government disposal.

The pact on Kurdish militias means that from now on the central government will pay the Peshmerga instead of the Kurdish regional government.

Azzaman in English

I'm only posting this because it says not to.

Range Metals Inc. Private Placement and Range Oil and Gas Inc. Update

THIS PRESS RELEASE IS NOT FOR DISTRIBUTION IN THE UNITED STATES OR TO U.S. NEWS AGENCIES

Range Metals Inc. (RMIC) (CNQ:RMIC)(FRANKFURT:YGK) is pleased to provide investors with news of a private placement in Range Metals Inc., and an update on operations of its wholly-owned subsidiary, Range Oil and Gas Inc., and its pursuit of oil and gas opportunities in Kurdistan, Northern Iraq, the Middle East and Africa.

RANGE METALS ANNOUNCES $150,000 FLOW-THROUGH PRIVATE PLACEMENT

Range Metals Inc. is pleased to announce that it has arranged a non-brokered private placement of 600,000 flow-through common shares at a per share price of $0.25, for gross proceeds of $150,000.

In connection with the private placement, Range Metals may pay finders' fees pursuant to the policies of the CNQ. Proceeds from the offering will be used by Range Metals, through its subsidiary Range Gold Corp., to fund further exploration expenditures on its properties in Ontario.

RANGE OIL & GAS INC. OPERATIONS UPDATE

From the Chief Executive Officer of Range Oil & Gas Inc., Mr. Norman Davidson Kelly - March 31, 2008

2007 was a particularly frustrating year for Range Oil & Gas (the "Company").

During the year, the Company continued negotiations with the Kurdistan authorities in relation the conclusion of a Production Sharing Agreement over an area in South Eastern Kurdistan. The discussions encompassed a proven oil discovery, exploration blocks and the establishment of an oil refinery. At the date of writing, these discussions have not led to a successful conclusion. However, the main property which the Company has been pursuing has not been awarded, and the Company remains optimistic that its efforts will ultimately lead to a successful outcome.

The process of awarding concessions in Kurdistan was complicated by the inability of the Iraqi central government in Baghdad to pass the long awaited draft Oil and Gas Law. This would permit the award of Production Sharing Agreements throughout Iraq, under the joint management of the Ministry of Oil in Baghdad and other interested parties. In June 2007 the Kurdistan Government, frustrated at the slow progress from Baghdad, published its own Oil and Gas Law applicable to Kurdistan, which was approved by the Kurdistan Parliament in August 2007.

As part of the process, the Kurdistan Ministry of Natural Resources published the terms upon which Production Sharing Agreements would be awarded, including the requirement for signature bonuses. These are understood to be in the order of $25 million per block, and are in addition to significant work commitments. At the same time, all PSA's previously awarded by the Kurdish authorities were re-negotiated to bring them into line with the new Kurdistan Oil Law, and the revised economic terms promulgated by the Ministry of Natural Resources. The Ministry awarded a number of Production Sharing Agreements in September and November 2007 to international oil companies.

These actions by the Kurdish authorities have led to a progressive breakdown in political relations between Baghdad and Kurdistan, which became more serious as the Kurdistan authorities awarded the Production Sharing Agreements, without consultation with Baghdad. These actions have led the Iraqi Oil Minister to denounce the Kurdistan Oil Law and the award of PSA's as unconstitutional, and the Minister has threatened to revoke all contracts which were awarded in 2007 by the Kurdistan authorities. The Minister has also threatened to black list all companies operating in Kurdistan from any opportunity in the rest of Iraq.

Needless to say, the assertions and threats from Baghdad are vigorously disputed by the Kurdistan Government. However until the dispute between Kurdistan and the Central Government has been resolved, the Kurdistan Regional Government has suspended the award of further Production Sharing Agreements in Kurdistan. The Board of Range is unable to make any estimate in relation to the timeframe for resolution of the dispute.

To maximize its chances of a successful outcome to its negotiations the Company terminated its Partnership and Consultation agreement with Omega Oil and Gas International, its strategic partner in Kurdistan, and is in the process of attempting to form a consortium with a number of companies to pursue a specific field development opportunity in Kurdistan. If the consortium is formed, it is expected to establish alliances with local partners to provide the maximum stability to the venture.

In the rest of Iraq, which contains over 70% of Iraq's oil and gas reserves, we understand that the main focus of the Ministry of Oil is to rebuild production capacity in its existing producing oil fields. The Ministry of Oil has stated that it will not award Production Sharing Agreements to international companies, but it is seeking to enter into a series of technical support agreements, in which the foreign companies carry out specific tasks for the Iraqis. The main requirement under these agreements will be to drill and recomplete an enormous number of wells. Estimates range from 2,000 wells upwards, and the Board of Range believes that an excellent business opportunity is represented by the lack of suitable drilling equipment in the country to satisfy the Ministry's requirements.

Therefore the Company has been holding discussions with experienced drilling contractors, and has retained the services of experienced Iraqi executives with a view to forming and financing a drilling company to participate in rebuilding Iraq's oil industry. In January 2008 it was announced that Research Capital had agreed that if the Company is successful in forming the company, it will provide up to $50 million to finance the Company's share of the venture.

In the meantime, although the Company remains committed to doing business in Iraq, the Board has determined that it should pursue nearer term upstream opportunities. To this end, the Company is negotiating with a view to securing its participation in the financing of near term drilling activities in Oman and Syria.

Range Metals Inc. Private Placement and Range Oil and Gas Inc. Update

A Contradiction from UPI?

Deal made on Kurd oil, Kirkuk -- Reports

Iraqi media reports say Baghdad has agreed to the Kurdish region's oil deals and stance on a draft oil law in exchange for a delayed vote on oil-rich Kirkuk.

Meetings in Baghdad between a delegation from the Kurdistan Regional Government and the central government have been taking place, and although there is no official confirmation, Azzaman, Sotal Iraq and the Voices of Iraq news agency have reported the agreement.

An agreement on funding for the Peshmerga, the Kurdish security forces, has reportedly also been reached.

The KRG and central government have squared off over the oil law for more than a year. The Kurds favor a decentralized oil sector, allowing producing provinces and regions some autonomy in signing deals with foreign companies.

The central government, however, claims the sole right to negotiate and sign deals in the oil and gas sectors. This issue, and the extent foreign firms should be allowed into Iraq's nationalized oil sector, are both blocking the oil law.

The KRG has passed its own regional oil law and signed more than 20 deals. Oil Minister Hussain al-Shahristani and other members of the government have called the deals illegal and have thus far blocked any companies that signed with the Kurds from entering the oil sector in the rest of Iraq.

A dispute over the oil-rich city of Kirkuk, as well as other territories outside the KRG area, plays into the talks as the Kurds push for a vote to allow residents to decide whether to join the KRG. A referendum was called for in the constitution, to take place by the end of 2007. It's a controversial item, however, since the area's Arabs and Turkomen populations, among others, disagree on whether Kirkuk should join.

The United Nations negotiated in December a six-month moratorium in order to resolve the issue.

This week's talks in Baghdad, however, may see another six-month extension in exchange for Baghdad recognizing the KRG oil deals, according to media reports.

This would be a major coup for the Kurds and a strong hit on Shahristani, who has been championing the pushback against the KRG deals while both negotiating oil deals with major oil firms and readying for Iraq's first round of oil and gas field tenders.

Rochdi Younsi, Middle East analyst for the business risk firm Eurasia Group, said if such a deal is realized it will harm the credibility of Shahristani and only delay a row over Kirkuk. And it could be a move by Prime Minister Nouri al-Maliki to shore up needed political support.

"If a deal with Kurdish leaders is indeed in the making, Prime Minister al-Maliki cannot secure the support of all Iraqi factions for it," Younsi said. "But in the context of Iraqi politics, competing political leaders will continue their efforts to avoid the worst by seeking short-term solutions to a multitude of complex sectarian, political and economic disputes."

Deal made on Kurd oil, Kirkuk -- reports - UPI.com

What is latest position about Iraq dinar as far as profitablity is concerned can some one please tell us about it.
goldever

Iraq close to agreeing oil and gas law - PM

BRUSSELS (Reuters) - Iraq is close to finalising a long-awaited oil and gas law, Iraqi Prime Minister Nuri al-Maliki said on Wednesday.

"We are close to agreeing a final version of the oil and gas law," al-Maliki told a committee of the European Parliament in Brussels at the start of a visit to discuss energy cooperation with the European Union.

The Deputy Speaker of the Iraqi parliament Khaled al-Attiya said on Tuesday the government and Kurdish officials would resume talks soon to try to iron out disputes holding up the landmark law. An oil ministry official said on Wednesday the main reason for the delay was because of contrcts signed by the Kurdish regional authorities.

Iraq close to agreeing oil and gas law - PM | World | Reuters

Originally Posted by goldever

What is latest position about Iraq dinar as far as profitablity is concerned can some one please tell us about it.
goldever

Good! If you have some dinar - keep it safe.