Oil Minister: the Odeon for foreign companies and review licensing contracts with ...
Oil Minister: the Odeon for foreign companies and review licensing contracts with them
12/21/2015 0 Comments
Oil Minister Adel Abdul-Mahdi, the lack of debt of foreign oil companies operating in Iraq, "adding" oil licensing rounds with a review of contracts of these companies. "
Said Abdul-Mahdi, in an article seen by the agency all of Iraq [where] "There are no debt on Iraq, and paid off each chapter is operational and capital expenditures for the previous separation or some of the remainder of the one before it, with all the Iraqi and foreign labor, imports and facilities and major works and secondary pay for companies, in addition to the profit of the company which is [1.15-6] dollars for each extra barrel up the production of the foundation]. "He explained that" mistakes committed by some confusion on them, and on public opinion vision, is that they calculate expenses like the return for companies, or counted Only exports and beat that in the current oil prices, and forget the whole production, Vijrgeon rates do not match at all with reality.
"He pointed out Abdul-Mahdi, that" what is consumed internally [refineries, electricity and other] figures preliminary, and measure the rest of the year on year rate, and neglecting some of the details, will be by the end of 2015, the size 184 593 111 barrels of oil, which is what constitutes 15.32% of the total production, which could be up to 1,204,92,362 barrel.
"And that," and this will be the value of what we consume internally 8405 barrels, to cope with declining resources, "adding," We continue cooperation with the companies to rationalize spending and remove any unnecessary expenses or exaggerated, and there are other things in the contracts we are settled, and did well the House of Representatives in the budget of 2016, that the request of the Ministry of Oil work on the revision of contracts and negotiate with the companies, which is what we are doing. " .
The oil minister said that "decades of licenses is a service or decades contractor to sustain and develop oil and gas fields, and manages the operation of joint committees between the two parties under the chairmanship of Iraqi party owner of the majority," adding that "this committee decides to production and project implementation plans, and at the end of each chapter [3 months] companies User expenditures, which scrutinizes progress, and are accepted headquarters of them, the ministry of you pay for companies, either in quantities of crude calculated at current prices, or cash.
"He said," To understand the licensing contracts must understand that what you get Company of the profit is the amount lump [US $ / barrel 1.15-6, according to contracts] for each additional barrels when production exceeds 10% of so-called production basis, any production of the field before signing the contract, and, of course, also pay the operating and investment expenses of the business and the purchase of equipment and installation facilities, and spent by the company to sustain production and development of the field, "noting that" the duration of his contract, also has a roof-called peak production, and be all the installations and oil underground king of Iraq ".