Iran claims that its partnership with Iraq in the oil fields in Basra

Wrote: April 17, 2014

Sources from the Iranian government’s efforts to produce one million barrels per day from fields shared with Iraq in the west of Basra, the Karun River.

An aide projects Iranian Oil Ministry Abdolreza Asadi said his government is investing more than twenty billion dollars to produce more than one million barrels of crude oil from the oil fields shared with Iraq in the west of the Karun River.

The expert stressed that the Iraqi oil joint oil fields between the two countries is one field which is common in the field betrayed the city of Khanaqin, noting that this is a trick by the current Iraqi government in order to release the hand of Iran in Iraqi oil.

The expert, who requested anonymity, said that all the maps and historical documents denies the existence of any name for the oil field joint except right in Khanaqin and all the declared Baghdad and Tehran for fields other common is falsifying the facts and legitimize the looting of Iraq’s oil.

Iraq must end dependence on oil—former planning minister

Mahdi Al-Hafez says country must boost other sectors in order to experience real growth

In this December 13, 2009 file photo,
Iraqi laborers work at the Rumaila
oil refinery, near the city of Basra.
(AP Photo/Nabil Al-Jurani)

Written by : Hamza Mustafa

on : Wednesday, 16 Apr, 2014

Baghdad, Asharq Al-Awsat

—Iraq’s economy must diversify to reduce its decades-long reliance on oil as the main contributor to its GDP, said the country’s former planning minister, despite a recent uptick in oil production leading to expectations that OPEC’s second-largest oil producer will be among the region’s best-performing economies in 2014.

Speaking to Asharq Al-Awsat this week, Mahdi Al-Hafez, who also heads the Coalition of Iraq, said: “The desired tasks for economic reform require the reduction of the domination of oil revenue on the economic situation and the adoption of a policy of diversifying the economy and developing other productive sectors such as industry, agriculture, communications and tourism, to make them genuine productive sectors which can contribute effectively to GDP.”

He added: “The priority in the forthcoming change in Iraq must start with the economy because our problems start and end with it . . Since the massive political change in 2003, the tasks of economic reform have emerged as the most prominent in economic development, due to the signs of underdevelopment which blighted the national economy before that date.”

Hafez, who heads the Institute for Progress of Development Policies in Iraq, said this “shift to a market economy was the first task which was called for by the advocates of change at the time [2003],” adding that despite many laws being passed in this regard, “the results did not come out as desired during the last 10 years.”

He described the course of economic development in Iraq as “faltering or regressive for a number of reasons,” and said that Iraq could not achieve sound economic progress unless it addressed the obstacles to development and the imbalances in its economy. “Oil, for instance, is the main productive commodity and still dominates Iraq’s finances, and the public sector is still an inflated sector which is not economically viable in these difficult times,” he said.

But the country’s economy is expected to grow 6 percent this year, according to IMF predictions, on the back of rising oil production and exports. Oil exports from Iraq rose to a record 2.8 million barrels per day (bpd) on average in February, and production rose to 3.5 million bpd. As a result of the increased oil export receipts, Iraq’s foreign currency reserves jumped from 7 billion US dollars to 78 billion by the end of 2013 over a period of 10 months.

Despite its optimism, the IMF also said the country needed to scale down its bloated public sector and restructure a number of state-owned banks in order to give private companies more of an opportunity to compete for government business.

Hafez also sees the private sector as playing a central role in the economy’s future. “Among the important tasks are to develop the private sector and the middle class in Iraq on the grounds that a market economy relies mainly on making the private sector a leader in the economy,” he said.

He added: “Some recent statistics indicate that the share of the private sector is around 33 percent of GDP and that the majority of workers in this sector are contractors for government institutes and totally dependent on their resources, and therefore, all opportunities and incentives must be made available to develop the private sector and its institutions.”

Iraq’s central bank is currently pressing ahead with the process to reform the country’s financial sector, with a new central bank, commercial bank and payment system all in the pipeline.

This comes as Iraqi’s are set to go to the polls on April 30 for parliamentary elections. The ratification of the country’s budget for 2014, which was meant to have been approved by March, has been postponed until after the vote following wrangling between Baghdad and the autonomous Kurdistan region, which demanded a larger share of the budget.

Disputes with the Kurdistan Regional Government also extend to the latter’s desire to export oil independently from Baghdad via the Kirkuk–Ceyhan pipeline to Turkey. Baghdad is demanding that the region exports all its oil under the supervision of Iraq’s state-owned oil company.

The expected arrival of oil revenues for more than 670 billion dollars by 2017

04.13.2014 (0:01 pm)

 Baghdad / Acer Jabbar

Ministry of Planning predicts, to reach revenues of crude oil by 2017 to "670 billion dollars", and stipulated that the arrival of exports from fields invested to "six million barrels per day", and as pointed out that the proportion of the investment budget "will increase by more than (40%)" from the general budget, confirmed that it "will be reflected positively on the sectors of industry, agriculture and energy projects."

said Deputy Minister of Planning Mahdi Keywords in an interview to the (long-Presse) that "five-year plan developed by the ministry took into account the amount of the increase in oil exports, especially after the announcement of most of the fields oil invested launch of its actual production of oil exports,

"explaining that" the plan, which began in 2013 and will end in 2017 indicated an increase in oil exports provided the province to increase exports by Fields invested. "

explained Keywords that "the increase in exports until the year 2017 will amount to 6 million barrels per day, "adding that" by selling oil per barrel to $ 85, the oil revenues will exceed the (670) billion dollars. "

and the Deputy Minister of Planning said that "the increase in revenue will be reflected positively on the budget, especially the investment budget, which will increase the rate of Certainly over the (40%) of the total percentage of the budget,

"he continued," as he reflected on the focus for the advancement of the domestic sectors such as industry, agriculture and tourism as well as the completion of all energy projects. "

Deputy Prime Minister for Energy Hussain al-Shahristani announced, in March last year, the opening of the West Qurna field, (2) the oil in
the province of Basra, the second largest field in the world, and pledged to compensate the families affected by the field, and urged the ministries of oil and industry

and local government in Basra to encourage foreign companies to invest in petrochemical industries, Oil Minister Abdul Karim and coffee opening field of "historic achievement" that will enable the Iraqi government to implement its development programs.

was the oil ministry announced, last February, rising crude oil exports to more than three and a half million barrels per day.

was the Oil Ministry confirmed that Iraq will become close to the "most important" sources of energy in the world, and that there will be nine million barrels by 2020, while showed that the Organization of Petroleum Exporting Countries have shown the possibility to absorb any increase in the export of Iraq, Saudi Arabia and Libya, has promised that "it will maintain the stability of the" oil prices.

was Deputy Prime Minister Iraqi for Energy Affairs, Hussein al-Shahristani, confirmed that the war in Syria "obstructed oil and gas projects in the fields of Iraq," noting that the export pipeline President extends to the Mediterranean "severely damaged",

and the security problems have hindered oil projects in the western region, but production processes and exports in the southern fields "remained the province on the rates without effect."

Shahristani was confirmed in December 2013 that Iraq has oil reserves "of 143 billion barrels and accounting for 10% of global reserves," and explained that it aims to produce nine million barrels of oil per day By 2020, stressing that Iraq needs to train 500 thousand employees to cover the needs in the major oil and gas sectors.

Oil Ministry welcomes the report of the United Nations and reaffirmed Iraq meet its international obligations

Oil Minister Abdul-Karim and coffee

02/04/2014 19:37

Tomorrow’s Press /

Baghdad welcomed the Oil Ministry, on Wednesday, the report of the committees of financial experts and compensation of the UN, which was held in Berlin last February and that the price of the respect for the Iraqi government to its obligations under international resolutions,

as well as Iraq’s commitment to work according to a comprehensive system to measure the amount of oil exported in accordance with the applicable standards in the oil industry.

Said Oil Minister Abdul Karim and coffee in a statement obtained by "tomorrow’s Press," "The fifth report submitted by the Secretary-General of the United Nations to the Security Council the price of respect for the Iraqi government to its obligations under international resolutions, also praised the continued cooperation between the Committee of Financial Experts and the Committee on Compensation" .

He added that "the report of the committees of financial experts and compensation of the UN, which was held in Berlin last February on the sidelines of the third meeting of the Iraqi – German, stressed the commitment of Iraq to operate a comprehensive system to measure the amount of oil exported in proportion to the practices standard in force in the oil industry, a feat recorded in favor of the ministry ".

He stressed that the report was "praised the Iraqi government policies meet its international obligations."

He added that "Iraq’s commitment to its international obligations enabled him to achieve his ambitions and aspirations and represent it in a clear acceptance of a member of the Transparency Initiative in the oil industry."

In the context of the conclusions reached on the issue of bail arrangements for the disbursement of payments to the Compensation Fund Board of Directors expressed its satisfaction with the constant conversion rate of 5% of the revenues from Iraqi oil sales and the equivalent of 5% of the value of non-cash payments to the Compensation Fund.

The Governing Council of the United Nations Compensation Commission as the authority responsible for the arrangements to ensure that the exchange of payments to the Compensation Fund,

held its seventy-sixth in the period from 19 to 21 November 2013 was attended by a delegation from the Committee of Financial Experts Iraqi opening plenary session emphasized Chairman of the Committee reaffirmed the commitment of Iraq to fulfill its obligations.

Iraq’s oil production of 3.5 million b / d in February

March 1, 2014 in economic

Baghdad: Iraq News Network -

said Hussein al-Shahristani, deputy prime minister for energy affairs, told reporters that Iraq’s oil output reached 3.5 million barrels per day in February

and exports recorded the highest level ever at 2.8 million barrels per day during the same month. Exports amounted Iraq 2.228 million barrels per day in January January Anhfada of 2.341 million barrels per day in December…8%d8%a7%d8%b7/