Jon Posted May 28, 2014 Report Share Posted May 28, 2014 I excerpted this from an email I received. These guys usually do a good job of their research. Iraq needs to have a stable Dinar to really benefit from this. Completing the RV would really help with making them acceptable on the world markets. I can see only good things coming out of what's happening with oil in Kurdistan (presuming they can see father than the end of their noses and stop the sectarian violence). ----------------------------------------------------------------- This Tiny Region of Iraq Is Offering Huge Energy GainsBy Brian Weepie, researcher, S&A Resource ReportWednesday, May 28, 2014One tiny region of Iraq is about to explode onto the world stage.Iraq is one of the largest oil regions on Earth.It is officially credited with about 115 billion barrels of proven oil reserves. It's the second-largest oil reserve in the world. But recent reports indicate another 45 billion to 100 billion barrels of oil could exist under Iraq's western and southern deserts. All told, Iraq could have more than 400 billion barrels of oil.The bulk of the country hasn't been explored with modern technology. But that's changing.In April 2009, a tiny, unknown, $86 million oil company drilled a well called the Shaikan-1 in the northern Iraq province of Kurdistan. It hit a giant oilfield. The well flowed 18,038 barrels of oil per day. The engineers believe that field holds more than 19 billion barrels of oil. The company's shares soared 2,200% over the next 18 months.The average production from four Shaikan wells is 10,000 barrels per day. It would take about 33 Eagle Ford Shale wells to equal the flow rate from a single Shaikan well. Remember, the Eagle Ford is a massive shale region rich in oil and gas in the U.S.That's the kind of opportunity that exists in Kurdistan today. Some of the largest oil discoveries of the last five years have come from the region that's just one-third the size of Texas. That's why major oil companies like Chevron, Total, ExxonMobil, and China's Sinopec are all there.Shaikan is one of the largest onshore discoveries in the last decade. However, it's far from unique. Exotically named oilfields like Kurdamir, Tawke, Taq Taq, Miran, Garmian, Chia Surkh, and Mirawa are all big new discoveries in Kurdistan.And like most investors, you've probably never heard of them. But that's about to change.Last week, Kurdistan shipped its first oil exports to Europe through a new pipeline that transports crude oil from Kurdistan to Turkey.On May 23, the Kurdistan Regional Government announced that a tanker loaded with over 1 million barrels of crude oil departed from the Turkish port of Ceyhan and headed toward Europe.The government says it will be the first of many sales of its exported oil through the newly constructed pipeline.The pipe will carry about 1 million barrels [of oil] per day by 2015. A second, parallel pipeline will push exports to 2 million barrels per day by 2019.Let me put that in perspective. By 2015, Kurdistan's oil exports will be equal to the oil production of Alaska, California, and Nevada combined. By 2019, its exports will be equal to 27% of U.S. daily production.Yes, you read that correctly. In about five years, this tiny segment of Iraq will send a volume of oil equal to 27% of the entire U.S. production down a pipeline to Turkey. That's not its entire production, either. That's just the export oil to Turkey.Kurdistan's huge oil-export growth potential is why some of the world's biggest oil companies are in the area. There are also risks.There has been an ongoing dispute between Iraq's central government (located in its capital city of Baghdad) and the autonomous Kurdish region over the latter's ability to sell oil.The Baghdad government is claiming sole authority over all Iraqi crude (it's afraid Kurdistan will keep all the money made from exporting oil for itself) and is declaring any independently sold oil as "smuggled." Baghdad has even stopped sending national budget funds to Kurdistan until a resolution is made.To date, the two sides haven't reached an agreement. But that hasn't stopped the Kurds from beginning to export their oil.And the exports will likely continue out of necessity.The Kurds need the oil to go to market… and they will get it there. But Baghdad isn't supplying the cash from the southern oilfields to support the government in the north. It's up to the Kurds to generate their own taxes… and it will come from oil production.That's why everyone I met in Kurdistan takes production for granted. It's going to happen… because it must happen. The Kurds are making it happen. 5 Link to comment Share on other sites More sharing options...
429 Posted May 28, 2014 Report Share Posted May 28, 2014 Thanks Jon. We all endure reading so much Arablish that it's actually refreshing to read a well thought-out article that includes words like Kurdistan, Baghdad, etc. in real, live English. While I think that the author doesn't necessarily grasp the whole idea of Kurdistan going rogue and how that may yet backfire, the word is getting out. Change is on the way. Thanks again. Link to comment Share on other sites More sharing options...
gakman Posted May 28, 2014 Report Share Posted May 28, 2014 Jon Thanks! Sometimes we forget, with all the BS flying around, what is really driving the future of Iraq. Namely - getting their vast reserves of oil, to market. The kurds are leading the charge!!! After awhile, you cannot stop free enterprise. In a LOT of respects, Iraq reminds me of China 20 years ago! Look where China is now - they own the U.S.'s debt!!! 2 Link to comment Share on other sites More sharing options...
yendor Posted May 28, 2014 Report Share Posted May 28, 2014 Jon Thanks! Sometimes we forget, with all the BS flying around, what is really driving the future of Iraq. Namely - getting their vast reserves of oil, to market. The kurds are leading the charge!!! After awhile, you cannot stop free enterprise. In a LOT of respects, Iraq reminds me of China 20 years ago! Look where China is now - they own the U.S.'s debt!!! I,too, feel that Iraq seems to be on the road to good - if not great- progress, but to compare Iraq with China ? C'mon ! I understand that you are comparing it with the China of 20 years ago... still, China has always been the "sleeping giant". Remember, too, that we are taking about Iraq . 'Nuff said. But I like your thoughts. Link to comment Share on other sites More sharing options...
SnowGlobe7 Posted May 28, 2014 Report Share Posted May 28, 2014 jon...you should come around more often! 1 Link to comment Share on other sites More sharing options...
chess Posted May 28, 2014 Report Share Posted May 28, 2014 (edited) Kurds have their oil-cow now. GOI best get it together quick! Edited May 28, 2014 by chess Link to comment Share on other sites More sharing options...
10 YEARS LATER Posted May 28, 2014 Report Share Posted May 28, 2014 Jon Thanks! Sometimes we forget, with all the BS flying around, what is really driving the future of Iraq. Namely - getting their vast reserves of oil, to market. The kurds are leading the charge!!! After awhile, you cannot stop free enterprise. In a LOT of respects, Iraq reminds me of China 20 years ago! Look where China is now - they own the U.S.'s debt!!! Jon Thanks! Sometimes we forget, with all the BS flying around, what is really driving the future of Iraq. Namely - getting their vast reserves of oil, to market. The kurds are leading the charge!!! After awhile, you cannot stop free enterprise. In a LOT of respects, Iraq reminds me of China 20 years ago! Look where China is now - they own the U.S.'s debt!!! . . . and they own the U.S. as well. Made in China, baby. Link to comment Share on other sites More sharing options...
gymrat76541 Posted May 28, 2014 Report Share Posted May 28, 2014 (edited) I,too, feel that Iraq seems to be on the road to good - if not great- progress, but to compare Iraq with China ? C'mon ! I understand that you are comparing it with the China of 20 years ago... still, China has always been the "sleeping giant". Remember, too, that we are taking about Iraq . 'Nuff said. But I like your thoughts. IRAQ HAS OIL & CHINA HAS PLENTY OF CHEAP LABOR. SORT OF LIKE COMPARING APPLES TO HAND GRENADES. LOL Edited May 28, 2014 by gymrat76541 Link to comment Share on other sites More sharing options...
ronscarpa Posted May 29, 2014 Report Share Posted May 29, 2014 Thanks for posting Jon...! Link to comment Share on other sites More sharing options...
Rochester Posted May 29, 2014 Report Share Posted May 29, 2014 Oil's Well, that ends Well. Link to comment Share on other sites More sharing options...
DinarThug Posted May 29, 2014 Report Share Posted May 29, 2014 Oh Stop With The 'Crude' Jokes ... 1 Link to comment Share on other sites More sharing options...
sandfly Posted May 29, 2014 Report Share Posted May 29, 2014 THANKS Link to comment Share on other sites More sharing options...
JayLay Posted May 29, 2014 Report Share Posted May 29, 2014 Oh Stop With The 'Crude' Jokes ... I'm a sucker for puns. Thanks thug. 1 Link to comment Share on other sites More sharing options...
Recommended Posts