Abdul-Mahdi: We got a reduction in the production cost contracts licensing rounds

Monday, December 21, 2015 - 13:40

Detection and Oil Minister Adel Abdul Mahdi, Iraq for discounts in the production of international oil companies in the costs of licensing agreements with tours.
It is said that foreign oil companies operating in Iraq take a gain of 20% of the production costs and the extraction of oil under the contracts concluded with them. The global crude oil prices have seen a decline on Monday morning was the lowest in 11 years, having fallen to $ 36 as a result of renewed fears of an oversupply of oil in the world markets. Abdul-Mahdi said in an interview with Reuters that the government's talks with foreign oil companies operating in the south on the review of conditions of service agreements with those companies "going in a good direction." He said, "We got some cuts in the costs of international oil companies, and we are still talking," noting that "international oil companies made some suggestions, and we have reduced the gap than ever before." The Minister of Oil, "we have to ask some incentives there for international oil companies but we want it to also assume responsibilities when the price is low and we both also responsible for cost reduction." And the Kurdistan region's exports Abdul-Mahdi, said, "It has not yet reached agreement on these exports," he said. "Opposition Erbil Baghdad to sell oil directly instead of being transferred to the Iraqi oil marketing company SOMO]." "We are still at a standstill, and are waiting for serious talks with our brothers in Kurdistan," adding that if the region recognized oil, it will receive a seventeen percent rate, "a reference to the custom of the province's budget in exchange for oil segment.