Source: Voices of Iraq - 09/08/2009
Oil Ministry official: the model contract for the second round of licenses will differ from the first round
The oil ministry is preparing to regulate the licensing of the second oil fields of the national conference in promotional Turkish city of Istanbul where he held a model different from the one put forward in the first session of licenses, according to a ministry official said.
The Director of the Department of Legal Affairs in the Ministry of Commerce and Abd al-Kazim Sa'idi today (Saturday) that the first action the second round of contracts "will be the convening of the promotion in the Turkish city of Istanbul for one day meeting attended by 45 companies qualified," he said, including the "35 companies that have already participated last year and ten participating for the first time ", without setting a date for the conference.
He added that the conference "will offer the new model contract for the controversial contract that was presented in the first licensing cycle," noting that "known as the SPPC".
He added that the ministry "will explain the new contract for companies interested and show them how to bid and the nature of the agreement and it will sell its portfolio of information, which contains full details of the fields and a copy of the initial contract and the agreement on investment, compared to $ determine the exact date later," he said, noting that the Ministry of Oil "conference will be held in the least the end of October or early November when the next show that the final wording of the contract Sitblor through discussions with the companies concerned and we will announce on the submission of tenders, which will be initially at the end of November or early December 2009. "
The second session of licenses "will offer 11 projects, 15 oil fields and some of the projects include two fields or more," pointing out that the number of fields "was 16, but ruled out a Ceiba gas licensing round since the second national Mlakatna is Sttorh."
Saadi expressed his hope "the participation of companies have contributed to the first session of licenses this year and last year made" he said, adding that "35 companies made last year, ten companies this year have not been the opportunity to obtain one of the projects presented in the first session of licenses."
The Oil Minister Hussain al-Shahristani said in an (30/6/2009) the tender for the development of berthing Rumaila oil companies BP and CANC British and Chinese, and that his ministry had given the price of two dollars per barrel.
The first licensing round of the main fields produce more than 80% of the total Iraqi oil production, the fields of Rumaila North, South Rumaila, Zubair, West Qurna field, fields, Maysan (Bazargan, Abu Gharb, jaw), as well as the Kirkuk field, the field Bai Hassan.
He said that the ministry "will not allow the participation of companies on the list established by the black or contracting with the Government of the Kurdistan Region to participate in the second session of licenses," explaining, "We have come a way for these companies did not receive offers in the first licenses will not be as we receive in this session and also, if we discover one that will end the contract with the Ministry contracted with it. "
And on the nature of the contracts to be concluded with foreign companies, said Saadi contracts licensing the second session, "will differ from the contracts concluded in the first session of licenses that the oil producing fields are different from the discovered fields and undeveloped in the new contract provides for the licensing of the second on" the establishment of a joint operating company called the GOC between the company and the foreign invested companies of Iraqi oil, "and" The fact that these fields do not work where the Iraqi companies are not developed, while licensing contracts contain the first composition of the Iraqi employment rate of $ 85%, and this will be the company's management only and has nothing to do with profit and loss because the profits go of the federal budget. "
The new contract "also includes an item for the production of the Ministry will develop depending on the oil fields and would appreciate the figure on the basis of studies conducted by the reservoir seismic difference of the fields covered with the companies that will accept requests for more production in the bids from the figure proposed by the Ministry of Oil and called that figure by the commercial production "he said, adding that the contracts of the first session of licenses" does not include such an item because the fields were producing the opposite of these non-producing fields. "
Sa'idi stressed that the winning companies "will not happen unless the profits to the extent that production to be determined by the Ministry of Petroleum and held Sevsk if they did not reach the end of production time", pointing out that these differences "is the key sessions of the licensing contracts between the first and second."
He added that the conditions and other items that have been developed in this contract "is no different than that in the convening of the first session", calling on companies to "Iraqi compliance with the laws imposed by a tax of 35% along with the training of qualified professional staff in Iraq and to conduct tests on the oil in Iraq and send employees to the Ministry of Oil and abroad as well as the transfer of its assets in Iraq to the ownership of the ministry of the country if the exit or termination of the contract with them. "
Oil Ministry official: the model contract for the second round of licenses will differ from the first round
The oil ministry is preparing to regulate the licensing of the second oil fields of the national conference in promotional Turkish city of Istanbul where he held a model different from the one put forward in the first session of licenses, according to a ministry official said.
The Director of the Department of Legal Affairs in the Ministry of Commerce and Abd al-Kazim Sa'idi today (Saturday) that the first action the second round of contracts "will be the convening of the promotion in the Turkish city of Istanbul for one day meeting attended by 45 companies qualified," he said, including the "35 companies that have already participated last year and ten participating for the first time ", without setting a date for the conference.
He added that the conference "will offer the new model contract for the controversial contract that was presented in the first licensing cycle," noting that "known as the SPPC".
He added that the ministry "will explain the new contract for companies interested and show them how to bid and the nature of the agreement and it will sell its portfolio of information, which contains full details of the fields and a copy of the initial contract and the agreement on investment, compared to $ determine the exact date later," he said, noting that the Ministry of Oil "conference will be held in the least the end of October or early November when the next show that the final wording of the contract Sitblor through discussions with the companies concerned and we will announce on the submission of tenders, which will be initially at the end of November or early December 2009. "
The second session of licenses "will offer 11 projects, 15 oil fields and some of the projects include two fields or more," pointing out that the number of fields "was 16, but ruled out a Ceiba gas licensing round since the second national Mlakatna is Sttorh."
Saadi expressed his hope "the participation of companies have contributed to the first session of licenses this year and last year made" he said, adding that "35 companies made last year, ten companies this year have not been the opportunity to obtain one of the projects presented in the first session of licenses."
The Oil Minister Hussain al-Shahristani said in an (30/6/2009) the tender for the development of berthing Rumaila oil companies BP and CANC British and Chinese, and that his ministry had given the price of two dollars per barrel.
The first licensing round of the main fields produce more than 80% of the total Iraqi oil production, the fields of Rumaila North, South Rumaila, Zubair, West Qurna field, fields, Maysan (Bazargan, Abu Gharb, jaw), as well as the Kirkuk field, the field Bai Hassan.
He said that the ministry "will not allow the participation of companies on the list established by the black or contracting with the Government of the Kurdistan Region to participate in the second session of licenses," explaining, "We have come a way for these companies did not receive offers in the first licenses will not be as we receive in this session and also, if we discover one that will end the contract with the Ministry contracted with it. "
And on the nature of the contracts to be concluded with foreign companies, said Saadi contracts licensing the second session, "will differ from the contracts concluded in the first session of licenses that the oil producing fields are different from the discovered fields and undeveloped in the new contract provides for the licensing of the second on" the establishment of a joint operating company called the GOC between the company and the foreign invested companies of Iraqi oil, "and" The fact that these fields do not work where the Iraqi companies are not developed, while licensing contracts contain the first composition of the Iraqi employment rate of $ 85%, and this will be the company's management only and has nothing to do with profit and loss because the profits go of the federal budget. "
The new contract "also includes an item for the production of the Ministry will develop depending on the oil fields and would appreciate the figure on the basis of studies conducted by the reservoir seismic difference of the fields covered with the companies that will accept requests for more production in the bids from the figure proposed by the Ministry of Oil and called that figure by the commercial production "he said, adding that the contracts of the first session of licenses" does not include such an item because the fields were producing the opposite of these non-producing fields. "
Sa'idi stressed that the winning companies "will not happen unless the profits to the extent that production to be determined by the Ministry of Petroleum and held Sevsk if they did not reach the end of production time", pointing out that these differences "is the key sessions of the licensing contracts between the first and second."
He added that the conditions and other items that have been developed in this contract "is no different than that in the convening of the first session", calling on companies to "Iraqi compliance with the laws imposed by a tax of 35% along with the training of qualified professional staff in Iraq and to conduct tests on the oil in Iraq and send employees to the Ministry of Oil and abroad as well as the transfer of its assets in Iraq to the ownership of the ministry of the country if the exit or termination of the contract with them. "