Fox News: Iraq, Kurds May Reach Draft Oil Law Pact Soon

[TrinityeXchange]

I think we are almost there folks. I am getting really excited especially after reading Adam's post from yesterday. Very very excited I am!

sorry if a repost but i could not find this

Iraq, Kurds May Reach Draft Oil Law Pact Soon

Published October 04, 2012

The federal government in Baghdad and the semi-autonomous region of Kurdistan in northern Iraq could soon reach an agreement on a new draft hydrocarbon law that would help resolve an impasse over who should control oil resources, Iraq's oil minister said Thursday.

Disputes between the federal government in Baghdad and the Kurdistan Regional Government in Erbil have prevented agreement on a draft federal oil and gas law for more than five years.

The law is important for settling a dispute between Baghdad and the regional government in Kurdistan, as the Iraqi government doesn't recognize many deals signed by the Kurds with foreign companies. It wants to review these deals and bring them in line with oil laws valid in Baghdad.

"The parliament has tasked the federal oil minister and minister of natural resources in Kurdistan to reach a version of the law acceptable to all parties," federal oil minister Abdul Kareem Luaiby told reporters in Baghdad.

"A new amended version of the law is expected shortly. It depends on discussions," Mr. Luaiby said without giving a timespan for reaching an agreement.

Mr. Luaiby and Ashti Hawrami, the Kurdish minister of natural resources, met in Baghdad last week to attempt to reach a version of the law that would be acceptable to both sides.

The Iraqi government maintains all the contracts signed with the Kurdistan government are illegal, but it has been defied by oil companies, which are increasingly drawn to the region as oil contracts in southern Iraq have turned out to be less attractive than anticipated.

Last November, Exxon Mobil Corp. (XOM) provoked protests from Baghdad when it became the first big Western oil company to enter Kurdistan. Tensions rose even higher in recent weeks when U.S. oil giant Chevron Corp. (CVX), France's Total SA (TOT) and the oil producing arm of Russia's OAO Gazprom (GAZP.RS) all struck their own deals in Kurdistan.

Write to Hassan Hafidh at hassan.hafidh@dowjones.com

Subscribe to WSJ: http://online.wsj.com?mod=djnwires

Copyright © 2012 Dow Jones Newswires

repost

mods please remove. thanks.

[hoosier1470]

I like it! We are so close...closer than most realize!!

[disciple7]

what was Adams post from yesterday?

[TexasGranny]

Closing this duplicate post - go here

Adam's comments are in his Wednesday Chat here

[King Bean]

what was Adams post from yesterday?

7:57 AM [Adam Montana] so on to Dinar - WOW

7:58 AM [Adam Montana] if you've been paying attention to the news, you've got to be as excited as I am. If you haven't been watching - I'll give a quick breakdown.

7:58 AM [Adam Montana] as recently as October 1 we have a TON of articles talking about a "mechanism" to resolve the HCL. For those that are unfamiliar with how arabic gets translated, a "mechanism" is generally a contract

7:59 AM [Adam Montana] that means that earlier this week they ALMOST signed this thing into law

8:00 AM [Adam Montana] October 2 two things happened - my Iraqi sources tell me that it was leaked that the budgetary committee was going to go NUTS if there was no plan to officially implement an immediate strategy to raise the value of the dinar when the HCL was resolved, and it threw a wrench in everything

8:01 AM [Adam Montana] October 3 that announcement was officially made - they are demanding an inclusion for "financial development"

8:02 AM [Adam Montana] I, for one, was literally on the edge of my seat most of yesterday waiting for some more news to break. Unfortunately we don't have it yet, but nonetheless - HOW EXCITING!

8:02 AM [Adam Montana] I didn't take time to count the amount of positive HCL related articles came out this week and last, but it is a STAGGERING amount

8:03 AM [Adam Montana] I guess at the end of the day, none of it matters until we can cash in... but my opinion is that the thing to watch is the HCL. As soon as they resolve that, we are THERE.

8:04 AM [Adam Montana] That's the weekly "State of the Dinar"