International Crisis Group Baghdad and Erbil interests may overcome the economic logic
01/01/2012 18:37
Erbil / Washington / Orr News
Look like the city of Erbil these days as one of the cities of the American West the old days of frantic search for gold, so described by Joost Hiltermann, deputy program director for the Middle East and North Africa, "International Crisis Group," and says that Almstmaren of all stripes flock to "the Kurdish capital of Iraq," to spend their dollars temptations driven by high numbers, and amounts to a great extent, in fact, what may be the oil and gas reserves, and promises of returns match those numbers.
Does not need some of these investors to a lot of encouragement, according to Hiltermann, but, with each contract entered into, and with high rates of exports, even the relatively conservative companies fear experimenting luck to miss out on the same opportunity if it is found that Kurdistan is truly a gold mine, which portrayed leaders. The "Exxon Mobil" the last and largest of those companies that have decided to go to adventure, are a few who understand, or even care about the essence of the strategy pursued by Iraqi Kurdistan.
It seems they are satisfied to be part of the game if they made large profits, but that strategy, its success or failure will determine the amount of oil and gas will be exported and the money to be gained by it. The genius of the Kurdistan Regional Government in promoting itself as a virgin land is rich in oil and is ideal for special projects, as you view the contracts contain provisions more generous than those offered by Baghdad for exploration in the fields of southern Iraq's huge. Kurdish government has always considered that its attempt to attract international oil companies is a strategic imperative, from small companies such as the company "DNA or" Norwegian, through larger companies such as Marathon Oil, and the end of the corporate giants such as "Exxon Mobil."
The government has made every possible effort to diversify the countries of origin, where they signed contracts with companies from the United States, the United Kingdom, France, Germany, China and other countries, in order to gain recognition and legitimacy of international for itself, and perhaps also to ensure the protection of the area if the need arises, or for support in If you decide to become an independent state.
According to Hiltermann that what lies behind this strategy is an effort Kurdish leaders to expand the area under their control to the maximum and the expansion of the powers they exercise within the territory to the maximum extent possible, which explains their interpretation of the broad of the Iraqi Constitution, which played a crucial role in its formulation, and the struggle continued to bring "disputed areas", which they allege were part of Kurdistan Historically, despite the fact that this land is demarcated border.
According to the American expert, there are a number of factors that may limit attempts to leadership in the liberation of the Kurdish region of Iraq, which his chains in the relationship miserable collected bi tendencies opposing forces.
I: the disputed territories. When authorized Kurdish leaders that they have oil reserves estimated at 45 billion barrels of oil and more than 100 thousand billion cubic feet of gas, they ignore the fact that most of these reserves are outside the Kurdistan region in areas not specified and developed yet, and that may turn their wealth to the fuse spark conflict in Baghdad and Erbil alike.
And when I entered the company "Exxon Mobil" the midst of disputed territory in October by signing contracts for exploration through the Green Line, the constitutional limit of the territory of Kurdistan, so they increased the strategic importance of the region.
The second factor: the relationship that have not yet been resolved with the rest of Iraq. Has extended to long years of negotiations on formulating a draft law of oil and gas would define the powers of Erbil, especially with regard to the conclusion of contracts, as well as the right to export oil and gas in the region by the national pipeline network.
However, both sides will take two positions far apart are the focus of the issue of federal arrangements between Baghdad and Erbil. The former accused the latter of trying to tear the country, prompting Kurds to respond in kind and accused the rulers of Iraq as Arab nationalists who lead the retarded regimes obsolete.
The third factor determines Hiltermann as: lack of access to Kurdistan on the sea, and thus have to rely on its neighbors for access to global markets. Has Turkey, which is the most likely candidate to carry out that role, and despite the strong desire to provide the main canal to export oil and gas from the region, she pointed out that the Kurdish government to coordinate its sales through the marketing board of the Iraqi state, which re-Kurds Baghdad and the central tendencies.
The latter constraint, according to Hiltermann, is the roof, which will be finally to oil exports to Iraq. The only Baghdad at the present time by making exports the Kurdish part of the national revenue. However, if Iraq succeeded in producing quantities that Which are currently being promoted, even according to the minimum of the estimates, then the neighbors will use their influence through OPEC and others to reduce Iraqi exports in order to maintain their grip on world prices and protect their status as producers.
Once access to the maximum during the next few years, and in the case of Iraq's southern fields has been able to meet its own demand, is going to think of Baghdad, then to give a share to those irksome Kurds? .. Hiltermann and concludes by saying that "the interests of both Baghdad and Erbil both lies in reaching a substantial agreement for the settlement of these concerns. But that their conflict will not be the first conflict in which allows for the interests of ethnic - national to overcome the logic of economic and commercial sense."
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01/01/2012 18:37
Erbil / Washington / Orr News
Look like the city of Erbil these days as one of the cities of the American West the old days of frantic search for gold, so described by Joost Hiltermann, deputy program director for the Middle East and North Africa, "International Crisis Group," and says that Almstmaren of all stripes flock to "the Kurdish capital of Iraq," to spend their dollars temptations driven by high numbers, and amounts to a great extent, in fact, what may be the oil and gas reserves, and promises of returns match those numbers.
Does not need some of these investors to a lot of encouragement, according to Hiltermann, but, with each contract entered into, and with high rates of exports, even the relatively conservative companies fear experimenting luck to miss out on the same opportunity if it is found that Kurdistan is truly a gold mine, which portrayed leaders. The "Exxon Mobil" the last and largest of those companies that have decided to go to adventure, are a few who understand, or even care about the essence of the strategy pursued by Iraqi Kurdistan.
It seems they are satisfied to be part of the game if they made large profits, but that strategy, its success or failure will determine the amount of oil and gas will be exported and the money to be gained by it. The genius of the Kurdistan Regional Government in promoting itself as a virgin land is rich in oil and is ideal for special projects, as you view the contracts contain provisions more generous than those offered by Baghdad for exploration in the fields of southern Iraq's huge. Kurdish government has always considered that its attempt to attract international oil companies is a strategic imperative, from small companies such as the company "DNA or" Norwegian, through larger companies such as Marathon Oil, and the end of the corporate giants such as "Exxon Mobil."
The government has made every possible effort to diversify the countries of origin, where they signed contracts with companies from the United States, the United Kingdom, France, Germany, China and other countries, in order to gain recognition and legitimacy of international for itself, and perhaps also to ensure the protection of the area if the need arises, or for support in If you decide to become an independent state.
According to Hiltermann that what lies behind this strategy is an effort Kurdish leaders to expand the area under their control to the maximum and the expansion of the powers they exercise within the territory to the maximum extent possible, which explains their interpretation of the broad of the Iraqi Constitution, which played a crucial role in its formulation, and the struggle continued to bring "disputed areas", which they allege were part of Kurdistan Historically, despite the fact that this land is demarcated border.
According to the American expert, there are a number of factors that may limit attempts to leadership in the liberation of the Kurdish region of Iraq, which his chains in the relationship miserable collected bi tendencies opposing forces.
I: the disputed territories. When authorized Kurdish leaders that they have oil reserves estimated at 45 billion barrels of oil and more than 100 thousand billion cubic feet of gas, they ignore the fact that most of these reserves are outside the Kurdistan region in areas not specified and developed yet, and that may turn their wealth to the fuse spark conflict in Baghdad and Erbil alike.
And when I entered the company "Exxon Mobil" the midst of disputed territory in October by signing contracts for exploration through the Green Line, the constitutional limit of the territory of Kurdistan, so they increased the strategic importance of the region.
The second factor: the relationship that have not yet been resolved with the rest of Iraq. Has extended to long years of negotiations on formulating a draft law of oil and gas would define the powers of Erbil, especially with regard to the conclusion of contracts, as well as the right to export oil and gas in the region by the national pipeline network.
However, both sides will take two positions far apart are the focus of the issue of federal arrangements between Baghdad and Erbil. The former accused the latter of trying to tear the country, prompting Kurds to respond in kind and accused the rulers of Iraq as Arab nationalists who lead the retarded regimes obsolete.
The third factor determines Hiltermann as: lack of access to Kurdistan on the sea, and thus have to rely on its neighbors for access to global markets. Has Turkey, which is the most likely candidate to carry out that role, and despite the strong desire to provide the main canal to export oil and gas from the region, she pointed out that the Kurdish government to coordinate its sales through the marketing board of the Iraqi state, which re-Kurds Baghdad and the central tendencies.
The latter constraint, according to Hiltermann, is the roof, which will be finally to oil exports to Iraq. The only Baghdad at the present time by making exports the Kurdish part of the national revenue. However, if Iraq succeeded in producing quantities that Which are currently being promoted, even according to the minimum of the estimates, then the neighbors will use their influence through OPEC and others to reduce Iraqi exports in order to maintain their grip on world prices and protect their status as producers.
Once access to the maximum during the next few years, and in the case of Iraq's southern fields has been able to meet its own demand, is going to think of Baghdad, then to give a share to those irksome Kurds? .. Hiltermann and concludes by saying that "the interests of both Baghdad and Erbil both lies in reaching a substantial agreement for the settlement of these concerns. But that their conflict will not be the first conflict in which allows for the interests of ethnic - national to overcome the logic of economic and commercial sense."
[You must be registered and logged in to see this link.]