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Tax relief for oil companies in Iraq
30-04-2015 11:45 AM
Revealed the Iraqi Parliament's Energy Committee is to vote on a Bill exempting the foreign oil companies, licensed new mining tax.
And the Vice-Chairman of the Committee, said on mu'arij Al-bahadili, in a press conference yesterday, that this exemption is part of a policy to encourage major international companies to enter the Iraqi oil industry, after failed efforts to attract them because worsening security in the country, adding that the draft law ' importance in opening up to the oil companies '.
The Iraqi Government relies on oil contracts to boost crude production, the country produces about 2.5 million bpd, with production expected to increase to 4 million barrels a day, the country's crude exports depends for 95 percent of the budget.
Iraq's oil exports rose slightly in February, recording 2 597 million barrels a day, compared to 2 560 in January.
Iraq is facing a financial crisis, the budget deficit this year to $ 21 billion, as a result of plummeting global oil prices by more than 50 percent since June, and also because of the war against daash.
Daash controlled since summer last year 2014, on wide areas of Northern and Western Iraq, with Iraqi forces launched high-cost fights against him.
And while the Iraqi Government is under fire for granting foreign companies more prerogatives with regard to oil wealth, but the Iraqi Economist, Mahmoud Abdullah, considered that granting foreign companies tax breaks is a very important step, it will help the companies market, noting that work on this file and to attract new companies, contributing to the creation of a competition between oil companies.
Abdullah said the move was a proposal of the foreign consultants Prime Haider Al-Ibadi leaders who hired them recently, a step similar to steps other countries entered the war and security collapse and has succeeded in attracting such firms, which paid tax amounts cancelled for security companies and their employees and provided its security and was able to continue, and this is what will happen in Iraq, provided the dimensions of corruption the way whales ', expected to vote in Parliament on the Bill unanimously.
Experts in the oil industry, that Iraq seeks the accelerated development of its fields, as it would be more affected by the conclusion of an agreement on the Iran nuclear file with major powers, will be allowed to increase its oil exports, after Western economic sanctions.
According to experts, the potential increase in exports from Iran in the event of termination of the sanctions, to fuel competition between the producers of the Middle East to Asian buyers, and that Iraq is closest to the loss, the move could hinder further oil exports or defer execution of expansion projects in the oil sector.
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30-04-2015 11:45 AM
Revealed the Iraqi Parliament's Energy Committee is to vote on a Bill exempting the foreign oil companies, licensed new mining tax.
And the Vice-Chairman of the Committee, said on mu'arij Al-bahadili, in a press conference yesterday, that this exemption is part of a policy to encourage major international companies to enter the Iraqi oil industry, after failed efforts to attract them because worsening security in the country, adding that the draft law ' importance in opening up to the oil companies '.
The Iraqi Government relies on oil contracts to boost crude production, the country produces about 2.5 million bpd, with production expected to increase to 4 million barrels a day, the country's crude exports depends for 95 percent of the budget.
Iraq's oil exports rose slightly in February, recording 2 597 million barrels a day, compared to 2 560 in January.
Iraq is facing a financial crisis, the budget deficit this year to $ 21 billion, as a result of plummeting global oil prices by more than 50 percent since June, and also because of the war against daash.
Daash controlled since summer last year 2014, on wide areas of Northern and Western Iraq, with Iraqi forces launched high-cost fights against him.
And while the Iraqi Government is under fire for granting foreign companies more prerogatives with regard to oil wealth, but the Iraqi Economist, Mahmoud Abdullah, considered that granting foreign companies tax breaks is a very important step, it will help the companies market, noting that work on this file and to attract new companies, contributing to the creation of a competition between oil companies.
Abdullah said the move was a proposal of the foreign consultants Prime Haider Al-Ibadi leaders who hired them recently, a step similar to steps other countries entered the war and security collapse and has succeeded in attracting such firms, which paid tax amounts cancelled for security companies and their employees and provided its security and was able to continue, and this is what will happen in Iraq, provided the dimensions of corruption the way whales ', expected to vote in Parliament on the Bill unanimously.
Experts in the oil industry, that Iraq seeks the accelerated development of its fields, as it would be more affected by the conclusion of an agreement on the Iran nuclear file with major powers, will be allowed to increase its oil exports, after Western economic sanctions.
According to experts, the potential increase in exports from Iran in the event of termination of the sanctions, to fuel competition between the producers of the Middle East to Asian buyers, and that Iraq is closest to the loss, the move could hinder further oil exports or defer execution of expansion projects in the oil sector.
[You must be registered and logged in to see this link.]
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