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Tension in Iraq is harming the world oil markets over Iran
On: Wed, 01/02/2012 19:47
Iraq, an influential player in oil prices
Citizen - Translation: Ammar Mohammed Kazem
The deteriorating political situation in Iraq has led some analysts voiced concern that the country may not be able to keep up with the big goals in raising the level of oil production as quickly as required, violence in Iraq is a big problem, especially for people who live there.
But the issue is not about the situation of Iraq only, but it is also related to world oil markets because the increase in oil exports from Iraq's supposed to be equal to the growing demand of its countries such as India and China, and Iraq's ability to deliver that oil is one of the reasons that did not make oil prices rise more than in the present time.
But after U.S. troops left the country in December last escalated attacks as cited at least 63 civilians during the terrorist attacks, which represents the highest amount of deaths in three months.
At the time that remained when the attacks much less than it was during the years following the American occupation, but there are also signs of escalating instability in the central government, which would threaten the deterioration of the position of security where they can target the oil infrastructure back in his written Mahlloa Deutsche Bank recently They said it: The growing tension in Iraq adverse global oil markets more than the headlines on Iranian oil.
Iraqi oil production is expected to rise by 2 million barrels per day during the next five years and this will increase by 70% of the growth in OPEC production, and to be done, Iraq needs comprehensive reforms of the investment after decades of wars have been started from through a wide range of international oil companies contracted to work in Iraq, such as Exxon Mobil, Shell, BP, but how these companies can be effective depending on the circumstances on the ground?.
Workers in these companies are concerned about violence, says Tim Daniel Executive Director of the Organization of International Relief: The International Medical companies that provide services to these companies in unstable areas is what makes people come and go to those places. But it must be borne in mind that these companies do not have helicopters, medical or hospitals are compatible with them and have no rapid reaction force then you are in such a case you work at your own risk, and this is why the oil companies in Iraq to contract with the company, Daniel focused on finding the staff of ambulance users of the oil company and then have the aircraft to transport injured workers to neighboring Abu Dhabi, in the case of serious wounds.
Situation is not impossible for oil companies to do the work they had been accustomed to work in hostile environments for several decades. Tim Daniel says: We did not hear about the companies withdraw, but they are developing contingency plans.
Says Carlton Smith, an analyst in one of the oil companies operating in Iraq has become is working hard here but I am optimistic because I believe that the Iraqis who are tired during the long years of war will cooperate together and develop reserves of oil and large this common feeling among everyone in all parts of this country. Said Ben Landau, director of the Baghdad office in the newspaper industry news that the oil infrastructure in Iraq is one of the best protected structures in Iraq and the violence that took place recently will not affect them.
For: The Wall Street Journal
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