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Iraq sets oil deals for companies Russia and China, not U.S.

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Source: Reuters - 13/12/2009

Iraq sets oil deals for companies Russia and China, not U.S.


After the U.S. invasion of Iraq, which critics said it was for oil, absent major U.S. oil companies for winning the tender for Iraqi oil deals instead grabbed companies Russia and China and other nationalities.


Iraqi officials have said that this proves their independence from U.S. control, and two rounds of bidding for the transactions to explore the vast oil reserves in Iraq's third largest reserves in the world free of foreign political interference.


Ended and the Iraqi Oil Ministry on Saturday after the second round of bidding that has established seven deals from the oil fields offered for development in addition to the deals of the first auction in June, Iraq can take collectively to the ability of being able to pump 12 million barrels a day.


He said Iraqi government spokesman Ali al-Dabbagh said that for the Government of Iraq shows that it is completely free from any foreign influence and that neither Russia nor the United States to pressure Iraq and one in the competition was transparent and purely commercial.


He added that no one, not even the United States can be stolen oil whatever people's thinking.


And won the Russian Lukoil oil on Saturday a deal for developing the second phase of the giant West Qurna field after failing to persuade Iraq to bypass the auction and the renewal of an old deal for this field had been reached during Saddam's rule.


During a visit to Baghdad earlier this year called on the managers of LUKOIL press to a news conference was expected to formally announce the renewal of the agreement reached days of Saddam. After a few remarks left without any success and seemed to anger them and clear.


The U.S. company made one bid for the development of oil fields in the second round between the fields and the four U.S. companies that submitted bids are won in the first round Exxon Mobil Prize and led a large group of companies to win the West Qurna deal the first stage.


And got Occidental, based in the United States a quarter share in the consortium that won a field-Zubayr giant.


In contrast, Chinese oil companies have participated in every government tender in the first round and made a strong showing in the second round.


"Said Philip Frayne, a spokesman for the U.S. embassy in Baghdad


"The results of the tour must tolerate false rumors that the United States intervened in Iraq to secure Iraqi oil for U.S. companies."


Said Philip Frayne, spokesman for the U.S. government in Baghdad, "the results of the round awarding contracts dampen the old canard that the United States intervened in Iraq to win Iraqi oil for American companies."


And contrary to predictions of some critics, the results of the U.S. invasion in 2003, who predicted the dominance of major U.S. oil companies to Iraqi oil.


Said Thamer Ghadhban, a former oil minister and an adviser to Prime Minister "We have not really U.S. companies and because of this intense competition. The question of financial and technical, not political at all. This confirms that Iraq could manage his own affairs and activities of the oil from being politicized."


Analysts saw that the conditions of service contracts for oil fields for 20-year-old militant and ambiguity in legal matters and security issues in a country still subjected to bombings and political crisis that almost continuous deterrent may be discouraged by some.


Said the manager of the major U.S. oil company, declined to be named "conditions are not exactly what everyone aspires. Vattaouat based on assumptions ambitious in terms of stability - Terms of the contracts themselves and cooperate with the company (State Oil) local communities."


Has seen the competition to win contracts to develop Iraqi oil fields a larger presence of foreign-owned oil companies interested in profit margins less attention of the public companies as well as companies that used to work in more hazardous environments, companies such as CNN.. Me. C Chinese and Angolan company Sonangol.


On the other hand, the U.S. oil companies already possess contracts worth billions of dollars to build new refineries in Saudi Arabia and has a presence in the United Arab Emirates and Qatar. May not be under the same amount of pressure put on other companies to win a foothold in the Middle East.

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