Once again, the results of Iraq’s first bid round proved that access to Mideast oil comes at a premium to international oil companies. Call it an entry fee for securing a foot in this vast oil hub. The prize is the giant Rumaila fields which despite producing since 1954 for South Rumaila and 1972 for its northern extension, still carry a huge potential but not without challenges. Oil in place…
Tag: 1st licensing round
Critical Choices
It took the Iraqi oil ministry eight months to negotiate technical support contracts (TSCs) with major oil companies for five oil fields before they were cancelled at the last minute in June 2008. Those TSCs could have offered Iraq the first significant foreign help in rehabilitating its producing oil fields in at least three decades. True, they were no-bid contracts but the commitment on the side of the state and…