isputes Freeze A $27 Billion Deal Between Iraq And “Total”
The terms, which have not been announced or published before, have raised officials’ concerns, and sources said they are unprecedented for Baghdad agencies Monday February 14 2022 17:47
The Iraqi Ministry of Petroleum said it expects to complete the deal with “Total Energy” after that (AFP)
A $27 billion deal between the French company ” Total ” and Iraq, which Baghdad had hoped for the return of the major oil companies to the country, faltered amid disagreements over terms that were canceled by the country’s new government.
Iraq is facing difficulties in attracting new large investments in the energy sector, since it signed a series of deals in the post-US invasion stage more than ten years ago. The government has repeatedly reduced the targeted production levels with the departure of the international companies that concluded these agreements, due to the low return on production-sharing contracts.
New Government Approval
Last year, Total agreed to invest in four oil, gas and renewable energy projects in the Basra region in the south of the country over a period of 25 years. The Iraqi Ministry of Petroleum signed the agreement in September 2021, after a visit by French President Emmanuel Macron to Iraq.
Three Iraqi sources from the Ministry of Petroleum and the sector told “Reuters” that the ministry did not obtain approvals on the financial details of the deal from all government departments whose approval is required, and it has been mired in disputes since then.
After the parliamentary elections, the deal now needs the approval of the new government, including the two ministers of petroleum and finance, who will not take office until March.
And the Iraqi Ministry of Petroleum told “Reuters”, that it expects to complete the deal with ” Total Energy ” after that.
Total Energy announced that it was making progress towards completing the deal, but added, “The agreement is subject to conditions that must be met by both parties.”
The terms, which were not announced or published before, raised the concerns of Iraqi politicians, and sources closely related to the deal said that they are unprecedented conditions for Iraq.
A group of Shiite representatives to the Ministry of Petroleum wrote a letter in January, demanding to see the details of the deal, and asking why it was signed without procedures that guarantee competition and transparency.
Parliament can force the ministry to reconsider or cancel the deal.
Waiting for ten billion dollars
The sources say that under the draft terms, Total is counting on getting $10 billion in investment, the first to finance the broader project by selling oil from the Artawi oil field, one of the four projects in the broader agreement.
The Artawi field is already pumping 85,000 barrels per day, and instead of Total getting its share of it, the proceeds go to the state treasury.
Sources from the Iraqi oil sector involved in the negotiations said that Total is scheduled to receive 40 percent of the Artawi field sales.This is a much higher percentage than between 10 and 15 percent, which investors used to obtain in previous projects through Iraqi technical service contracts, which compensate foreign companies for capital and production costs, and pay a fixed fee for crude oil.
Expert: Iraq Loses 20 Billion Dollars Annually For This Reason
Economic 02/13/2022 | 7:22 PM information/special Economist Diaa Mohsen revealed, on Sunday, billions of dollars in losses due to the failure to activate the tourism aspect in the country, attributing this to 3 main reasons.
Mohsen told the agency, “The Information”, that “Iraq is currently losing from 15 to 20 billion dollars annually due to the failure to activate the tourism aspect in the country due to the major problems related to the file.”
He explained that “the problems are summarized in the security situation surrounding Iraq, in addition to the central government’s lack of knowledge of how to deal with the tourism aspect, especially the Ministry of Culture, Tourism and Antiquities,” noting that “among the problems is the lack of infrastructure to accommodate large numbers of tourists.”
The economic expert considered, “Pope Francis’ visit to some religious places did not achieve any economic feasibility, because it is considered among the shy visits.”
He called on the Iraqi government to “think about how to attract Christian tourists and try to take advantage of the non-Islamic religious places that are scattered in most of Iraq’s governorates.”
Talabani announces her position on the court’s decision that the oil and gas law in the region is unconstitutional
Tuesday, February 15, 2022 5:18 PM Special / National News Center Today, Tuesday, the leader and former representative of the Patriotic Union of Kurdistan, Ala Talabani, announced her position on the Federal Court’s decision that the oil and gas law in the Kurdistan Regional Government is unconstitutional.
Talabani said in an exclusive statement to the “National News Center”, “I hope that the decision will urge Parliament in this session to expedite the legislation of the oil and gas law after the failure to legislate it during four parliamentary sessions.”
And she added, “The decision is the best solution to most of the problems and differences that exist between Baghdad and the Kurdistan region over oil exports and imports.”
And the Federal Supreme Court of Iraq, earlier today, issued a ruling that the oil and gas law in the Kurdistan Regional Government is unconstitutional for violating the federal constitution.
The court obligated the regional government to enable the Ministry of Oil and the Federal Office of Financial Supervision to follow up on the conclusion of contracts for the sale of oil and gas.
Al-Araji: Supporting Investment In Iraq Will Lead To A Qualitative Leap In All Fields
Sunday 13 , February 2022 | Politics Read Counter 56 Baghdad / NINA / – National Security Adviser Qassem Al-Araji confirmed that supporting investment in Iraq will lead to a qualitative leap in all fields.
A statement by the chancellery stated that Al-Araji visited the American University in Baghdad, during which he met with the president of the university, its students and those in charge of it.
Al-Araji also toured the corridors of the university and saw its buildings and the urban details they contain that provide students with the ideal atmosphere, stressing that there is a prosperous future awaits the university, as it represents an important scientific edifice.
Al-Araji indicated that supporting investment in Iraq will lead to a qualitative leap in all fields, indicating that the Iraqi investor is able to advance his country with the help of the state, stressing the importance of providing all facilities to investors, which could raise the country’s ability to advance and build with Iraqi hands and investments. / End https://ninanews.com/Website/News/Details?key=956498
An Announcement Issued By The Central Bank Of Iraq
February 15, 2022 The Central Bank of Iraq – Baghdad announces the conduct of a public auction for the sale of wheels, materials, consumable goods and pharmaceutical materials belonging to the Central Bank under the Sale and Rent Law No. (21) of 2013.
Those wishing to enter the public auction should come to the Al-Nahda website of the Central Bank in Al-Nahda, next to Al-Nahda exhibitions, and it will be The call date is at ten in the morning on Monday, February 21, 2022, bringing with them the identification documents and a certified deed in the amount of (20%) of the estimated value of (12,000,000) dinars (twelve million dinars), provided that the person who is awarded the bid bears the fees for publishing the advertisement. https://cbi.iq/news/view/1945
The Board Of Directors Of The Center For Banking Studies Holds Its First Meeting For The Year 2022
February 15, 2022 The Board of Directors of the Center for Banking Studies at the Central Bank of Iraq held its first meeting for the current year 2022, headed by the Deputy Governor of the Central Bank, Dr. Ammar Hamad Khalaf.
The Council discussed the issues on its agenda, as it reviewed the achievements made by the Center during the past year, as well as discussing the annual plan for the current year, which includes holding a series of sessions throughout the year.
During its first session of the current year, the Council discussed the directive of His Excellency the Governor of the Central Bank, Mr. Mustafa Ghaleb Mokhief, regarding the mechanism for preparing a plan for senior leadership positions in all banks, as well as for newly appointed ones.
The Council also discussed the draft of the first amendment to the effective Law of the Center for Banking Studies, and approved the proposed amendments.
Central Bank of Iraq information Office 15 – February – 2022 https://cbi.iq/news/view/1946
Internal Audit Charter February 15, 2022 https://cbi.iq/news/view/1944
Internal audit charter »(2019) /(2021) https://cbi.iq/static/uploads/up/file-164490791249341.pdf
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