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Zebari: We intend to sell oil to pay pre-conversion contracts for foreign companies to participate Service
Wednesday, March 25 / March 2015 23:25
Finance Minister Hoshiyar Zebari said on Wednesday that his government plans to manage emergency funds through sales of oil reserves in advance and payment system for the first time and begin economic reforms to amend the oil contracts with major Western companies.
And between Zebari in a press statement, "It has not yet determined the details of the quantities and value of these sales, known in the oil industry pre-funding but Iraq needs liquidity to fund its military campaign against al Daash To compensate for revenue lost because of falling world oil prices."
Zebari said that "Baghdad also plans to change the way it manages its exploration and production contracts with oil companies such as Royal Dutch Shell, BP and Exxon Mobil."
With this shift will move Iraq for the first time to the production sharing contracts under which the proceeds are split adopt a percentage of the services that you get under which oil companies on a specific fee contracts.
The Iraqi service contracts entered into when oil prices were high, and the mean drop in global oil prices that Baghdad is now paid to the companies much more than if they were operating production sharing contracts.
Zebari said that "the amended contracts in Iraq will know the name of [revenue-sharing contracts."
b_280_189_16777215_0___images_idoblog_up
Such contracts are prohibited in many oil-producing countries because they consider the abandonment of national sovereign wealth to foreign companies, but Zebari said that "Iraq should seize the opportunity presented by the crisis Daash for reform."
The Minister of Finance "It's better now for us to rely production sharing contracts, and we are negotiating with all international oil companies, the federal government began to realize through the factual circumstances that revenue sharing is the best."
He explained, "You can not build the private sector and bring in foreign investment with the adoption of an authoritarian socialist laws of old."
Zebari said that "the crisis in spite of the difficulties that Nlaekayaa security-related and financial aspects led us really to a lot of new ideas, and became the logo is that it is essential that the reform, but it will fail economically." The corruption and excessive spending in times of the rise in oil prices and financial mismanagement have all contributed to the economic crisis triggered by the organization of the Islamic state takeover of the zones in Iraq and the collapse of oil prices.
And that "Iraq will not put pressure on the Arab Gulf countries, OPEC members such as Saudi Arabia to cut production to support oil prices," stressing "must reform ourselves and should not rely on the goodwill of others in the Arab world, things are not going that way."
The Finance Minister Hoshyar Zebari said earlier this month that "Iraq is considering issuing bonds worth five billion dollars through the bank Citi Bank and Deutsche Bank to help cover the budget deficit."
He cited "a monthly bill worth three billion dollars, facing the Iraqi government in order to meet the needs of its population of 32 million," as a sign of extreme centralization and lack of investment Alkhash.anthy
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Wednesday, March 25 / March 2015 23:25
Finance Minister Hoshiyar Zebari said on Wednesday that his government plans to manage emergency funds through sales of oil reserves in advance and payment system for the first time and begin economic reforms to amend the oil contracts with major Western companies.
And between Zebari in a press statement, "It has not yet determined the details of the quantities and value of these sales, known in the oil industry pre-funding but Iraq needs liquidity to fund its military campaign against al Daash To compensate for revenue lost because of falling world oil prices."
Zebari said that "Baghdad also plans to change the way it manages its exploration and production contracts with oil companies such as Royal Dutch Shell, BP and Exxon Mobil."
With this shift will move Iraq for the first time to the production sharing contracts under which the proceeds are split adopt a percentage of the services that you get under which oil companies on a specific fee contracts.
The Iraqi service contracts entered into when oil prices were high, and the mean drop in global oil prices that Baghdad is now paid to the companies much more than if they were operating production sharing contracts.
Zebari said that "the amended contracts in Iraq will know the name of [revenue-sharing contracts."
b_280_189_16777215_0___images_idoblog_up
Such contracts are prohibited in many oil-producing countries because they consider the abandonment of national sovereign wealth to foreign companies, but Zebari said that "Iraq should seize the opportunity presented by the crisis Daash for reform."
The Minister of Finance "It's better now for us to rely production sharing contracts, and we are negotiating with all international oil companies, the federal government began to realize through the factual circumstances that revenue sharing is the best."
He explained, "You can not build the private sector and bring in foreign investment with the adoption of an authoritarian socialist laws of old."
Zebari said that "the crisis in spite of the difficulties that Nlaekayaa security-related and financial aspects led us really to a lot of new ideas, and became the logo is that it is essential that the reform, but it will fail economically." The corruption and excessive spending in times of the rise in oil prices and financial mismanagement have all contributed to the economic crisis triggered by the organization of the Islamic state takeover of the zones in Iraq and the collapse of oil prices.
And that "Iraq will not put pressure on the Arab Gulf countries, OPEC members such as Saudi Arabia to cut production to support oil prices," stressing "must reform ourselves and should not rely on the goodwill of others in the Arab world, things are not going that way."
The Finance Minister Hoshyar Zebari said earlier this month that "Iraq is considering issuing bonds worth five billion dollars through the bank Citi Bank and Deutsche Bank to help cover the budget deficit."
He cited "a monthly bill worth three billion dollars, facing the Iraqi government in order to meet the needs of its population of 32 million," as a sign of extreme centralization and lack of investment Alkhash.anthy
[You must be registered and logged in to see this link.]
