trooper Posted January 20, 2012 Report Share Posted January 20, 2012 Pressure is mounting on Kurdish PSCs as Iraq’s Cabinet approves Hydrocarbon Law By: Shwan Zulal-The Iraqi Cabinet has finally approved the draft Hydrocarbon law and will soon be read in parliament. This latest development comes on the backdrop of another draft oil law, which was introduced by the Iraqi Parliamentary committee for energy pushed, by Iraqiya List and the Kurds. Incumbent MPs walked out of parliament when the draft was supposed to have its first reading accusing the energy committee for not consulting with the government and calling the draft law weak and insubstantial. The first Hydrocarbon Bill surfaced in 2007 and due to political differences between the competing interests of the political factions and disputes over the legality of the Kurdish contracts, it was delayed since. The parliamentary committee has always been calling for the enactment of a hydrocarbon law before holding any further hydrocarbon auctioning rounds. However, the Government has not made it its priority to try to push for the law and concentrated on developing the oil and gas sector with little progress. Commentators believe the law might be passed before the January auction. And the Iraqi government is adamant that the 4th round of auction should go ahead regardless of the enactment of the law. This legal conundrum has created a tremendous amount of uncertainty for Kurdish Region and oil and gas companies operating there. Moreover, other companies operating in the south of the country feel vulnerable too as the Iraqi government does not yet appears to be consistent as some contracts has been renegotiation after nearly two years and deals Shell and Mitsubishi in the south of the country have been delayed. The enactment of the Oil and gas law -either draft- may give some investors a sense of security and encourage other to come to the country, but unless the law is reached by political consensus and the parties involved willingly agree to adhere to it, the status quo does not change. Kurdistan Region has been at the forefront of the parliamentary melee for the hydrocarbon law and along with the Iraqiya list have managed to push Al-Maliki’s government to speed up the introduction of government version of the hydrocarbon law. The main aim of the KRG is to make sure that the contracts they entered into stay in place and if they are revised, KRG officials will have a say. Information coming out of the Wikileaks files suggests that the US state department has advised companies against investing in Kurdistan and especially in the oil sector due to the legality of the contracts. However, some companies have ignored the advice and could not resist what was on offer in Kurdistan. Hunt oil being one example, they bought into Dhok block despite such warning. Furthermore, more talk of potential takeover is emerging in Kurdistan as Tony Hayward, investment vehicle Vallares said to be in final stages of making an offer for Turkish Genel Energy and there has rumours of British listed GKP (Gulf Keystone Petroleum) being up for sale, although denied by the company. These activates can only be an indicator that interest in the region is on the up and investors are cottoning on to the fact that the KRG would not budge to Baghdad. It is also becoming apparent that KRG will make sure the PSCs it has awarded will be honoured as failing to do so make KRG irrelevant. With the issue of the Kurdish oil contracts becoming the focus of the Iraqi lawmakers and Kurdistan region being shelled and bombed by both Iran and Turkey. The Iraqi government has acted with impunity and so far failed to defend its “citizens” in the north of the country. The Iraqi government’s lack of response could only confirm that Baghdad has very little to do with Kurdistan Region and the impasse between Baghdad and Erbil is ever greater. In recent weeks, the KRG have looked weaker and appeared to be losing authority, but Kurdish politicians including the President has come out fighting and condemned the attacks. The massage has been clear to everyone that the Kurdistan Region is here to stay and threatening behaviour from neighbouring countries will not dent her resolve. http://ikjnews.com/?p=1372 Link to comment Share on other sites More sharing options...
Carrello Posted January 20, 2012 Report Share Posted January 20, 2012 Form a line. I will be handing out paper bags in a minute. BRB. Link to comment Share on other sites More sharing options...
Carrello Posted January 20, 2012 Report Share Posted January 20, 2012 Trooper, maybe this would get more attention if they had a title that had read HCL approved by the Iraqi Cabinet.. In my pea brain, the Kurds contracts are secondary. Thank you for the post, Trooper. Link to comment Share on other sites More sharing options...
fastarnie Posted January 20, 2012 Report Share Posted January 20, 2012 To be read in parliament soon. There's that word soon again. This was agreed upon a week or week and a half ago. This should be in the Gazette by now right along with the budget. Link to comment Share on other sites More sharing options...
Carrello Posted January 20, 2012 Report Share Posted January 20, 2012 I am glad to see them talking about the problems that need to be solved, and signifies movement forward. Link to comment Share on other sites More sharing options...
steveflex7 Posted January 20, 2012 Report Share Posted January 20, 2012 I am glad to see them talking about the problems that need to be solved, and signifies movement forward. I agree carrello. Sooner or later action must be taken, they can't talk about this forever. HCL and the budget passed and published in the gazette is all we are waiting for. Go Shabbs ! Link to comment Share on other sites More sharing options...
PacoTaco Posted January 20, 2012 Report Share Posted January 20, 2012 I think we may see this go down in 2012 just yet! Good News IMHO! Go RV, and yes please pass the paper bag. Link to comment Share on other sites More sharing options...
DinarThug Posted January 20, 2012 Report Share Posted January 20, 2012 and signifies movement forward. With All This "Movement" I'm Strapping On My Thuggies ! :D Thx for the post Trooper ! Go HCL !! Link to comment Share on other sites More sharing options...
redsand Posted January 20, 2012 Report Share Posted January 20, 2012 The heat is on to get this done! Link to comment Share on other sites More sharing options...
simon8957 Posted January 20, 2012 Report Share Posted January 20, 2012 Fantastic news.....I hope our definition of soon and their definition of soon are the same thing.... Link to comment Share on other sites More sharing options...
MicheleJ Posted January 20, 2012 Report Share Posted January 20, 2012 Form a line. I will be handing out paper bags in a minute. BRB. Things are starting to move at high speed! We might need more than a paper bag as we might end up with whiplash instead of hyperventilating. Dr. J Link to comment Share on other sites More sharing options...
unirod Posted January 20, 2012 Report Share Posted January 20, 2012 International companies don't like to have to renegotiate contracts after 2 years? This is undermining confidence in the GOI. This law has to get passed before the auctions this month. It will get done Link to comment Share on other sites More sharing options...
Carrello Posted January 20, 2012 Report Share Posted January 20, 2012 (edited) Things are starting to move at high speed! We might need more than a paper bag as we might end up with whiplash instead of hyperventilating. Dr. J Well, Dr. J., is that an update of sorts? Sounds good coming from you. Well, I will have to default to the paper bag brigade, and we will leave you with the whiplash detail. We all have our purpose in life. You will be the doctor, and I will be the wind bag. Edited January 20, 2012 by Carrello Link to comment Share on other sites More sharing options...
winterset Posted January 20, 2012 Report Share Posted January 20, 2012 With All This "Movement" I'm Strapping On My Thuggies ! :D Thx for the post Trooper ! Go HCL !! Strapping on does sound stronger but you might also want to double up Link to comment Share on other sites More sharing options...
Papster Posted January 20, 2012 Report Share Posted January 20, 2012 Well, Dr. J., is that an update of sorts? Sounds good coming from you. Well, I will have to default to the paper bag brigade, and we will leave you with the whiplash detail. We all have our purpose in life. You will be the doctor, and I will be the wind bag. you are right.......DrJ.......has seemed very upbeat here lately..........maybe he knows something...........and you are no wind bag..........lol..........GO DINAR Link to comment Share on other sites More sharing options...
cooked Posted January 20, 2012 Report Share Posted January 20, 2012 Something about Thug and strap-on is the same sentence just creeps me out. Link to comment Share on other sites More sharing options...
cbs71 Posted January 20, 2012 Report Share Posted January 20, 2012 you are right.......DrJ.......has seemed very upbeat here lately..........maybe he knows something...........and you are no wind bag..........lol..........GO DINAR or she? Link to comment Share on other sites More sharing options...
Papster Posted January 20, 2012 Report Share Posted January 20, 2012 or she? sorry.........i think you maybe right.........GO DINAR Link to comment Share on other sites More sharing options...
Carrello Posted January 21, 2012 Report Share Posted January 21, 2012 sorry.........i think you maybe right.........GO DINAR Sure, she is too smart to be a man! jk Link to comment Share on other sites More sharing options...
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