BondLady’s Corner

  In Bondlady’s Corner 

TLM724 Administrator BondLady’s Corner

Economist: Exxon Mobil Withdrew From The Qurna 1 Field, Uncovering Suspicious Transactions Of The Ministry Of Oil

Saturday 08, May 2021 10:07 | Economica lViews: 393  Baghdad / NINA / Ali Jabbar Al-Freiji, the specialist in managing state institutions in crises, affirmed: “Exxon Mobil’s decision to withdraw from licensing contracts and sell its share of the service contract in the Qurna 1 field is an embarrassing decision in these circumstances,” indicating that some companies have already withdrawn From other fields such as Shell in the Majnoon field, and these withdrawals come when the major companies re-evaluate their investments and contracts in the world.

Al-Freiji said in a statement to the Iraqi National News Agency / NINA/ The withdrawal of ExxonMobil from the Qurna field 1 put the Ministry of Oil and its national companies in a great embarrassment, as it was found that the cadres in these companies have not invested the work of international companies since 2008 until now in Iraq, to develop the efficiency and capabilities of national companies to be at global levels It enabled it to take its role in embarrassing stages like these, or to move to national efforts in developing the oil sector, so the national oil companies operating under the umbrella of the Ministry of Oil turned into brokerage shops and suspicious dealings with foreign companies, especially Chinese ones.

And the specialist stated: “The calculations of the cost of extracting a barrel during the licensing rounds period, which during the period 2011-2012 amounted to $ 11 per barrel, was one of the problems that accompanied the implementation processes, the exaggeration of expenses and unjustified waste, especially during the first four years, while the cost of oil Before entering into the licensing round contracts, they ranged between one dollar and two dollars in previous periods. ”

Al-Freiji called on the Ministry of Oil to review and change the approach in which this task is managed and to move from the role of bidding shops and searching for companies, to national companies operating with global competence, as is the case in many oil states that are less important in production rates and oil reserves.

The West Qurna 1 field is one of the largest Iraqi oil fields, and oil was extracted from it for the first time in 1973, while the proven reserves of the field amount to 8.7 billion barrels. The “Exxon Mobil” company won the investment contract in the field during the first oil licensing round conducted by Iraq in 2008.

Currently, 4 companies own exploration stakes in the Qurna oil field (65 km north of Basra), namely the American “Exxon Mobil” and “PetroChina”. Chinese, Indonesian “Pertamina”, and Japanese “Itochu”. The share of “Exxon Mobil” 32.7% of the total investing companies.

The field is divided into West Qurna Field-1 and West Qurna-2 Fields. West Qurna-1 is developing a consortium that includes “Exxon Mobil” with a share of 60%, the Iraqi National Oil Company of 25%, and “Royal Dutch Shell” 15%.

Parliamentary Finance: High Oil Prices Will Cover The 2021 Budget Deficit

Money   and business Economy News _ Baghdad  The Parliamentary Finance Committee confirmed, on Saturday, that the fiscal deficit in the General Budget Law for the current year is estimated at 32 trillion dinars, confirming that high oil prices will enable the government to cover the deficit.

Committee member Naji Al-Saeedi said in a press interview, “The total expenditures in the General Budget Law for the year 2021 amounted to 129 trillion dinars, but the financial deficit in the law is estimated at 32 trillion.”

He added, “The calculation of one barrel of oil in the General Budget Law for the year 2021 had been proven at 45 dollars, and therefore the rise in oil prices would cover the expenses of the financial deficit, and provide the petrodollar project allocations and other obligations to the Ministry of Finance.”

Iraq relies on oil sales revenues to finance 95 percent of state expenditures.

The country has been experiencing a stifling economic crisis since the beginning of 2020, due to the decline in crude oil prices on global markets due to the Corona pandemic.

Number of observations 122 Date added 05/08/2021

Dollar Exchange Rates In Local Markets

Market  Economy News _ Baghdad “Economy News” publishes the exchange rates of the dollar, today, Saturday, in the local markets.

The prices are as follows:

Baghdad – Al-Kifah Stock Exchange   148,550

The price in exchange is  148,000   149,000

Number of observations 109 Date added 05/08/2021

{Locality: Al Furat News} The Government Media Cell announced that the Ministry of Planning has investigated the economic and development aspects within a year of the current government’s life.

In a statement, the Euphrates News Agency received a copy of it today, the Government Media Cell announced that the Ministry of Planning had achieved a number of important steps and took further measures related to the development and economic reality in the country within one year of the life of the current government, starting from May 2020 until End of April 2021.

It indicated that “all the ongoing and stalled projects were counted within the investment program and the regional development program, and to find the treatments and procedures required to return these projects to work, cancel them or invest them, and according to the nature of each of these projects, and the ministry was also able to count the amounts of financial obligations for completing investment projects.” After excluding the cumulative expenses from them, the

ministry pointed out that the Diwani Order Committee (45) headed by the Minister of Planning, Dr. Khaled Battal Al-Najm, managed to restore (30) hospitals that were suspended to work out of (52) hospitals, and also contributed to the preparation and completion of The national plan to end the displacement file, and enable the displaced to return to their areas, in cooperation with the Ministry of Displacement and Migration and United Nations organizations.

With regard to the file of the Social Fund for Development projects in a number of governorates, the Ministry has succeeded in completing (32) projects, and covering (Cool new governorates with the Fund’s projects, and the last period has witnessed the formation of the Private Sector Support Council, which will undertake the tasks of supervision, management and formulation of private policies. In the private sector in Iraq.

She added, “The Ministry has succeeded in addressing the technical and contractual problems of more than (70) different projects throughout Iraq, and has prepared a manual for checking and assessing the conformity of vehicles, and it continues to complete the job number project for Iraqi state employees.

More than two million five hundred thousand job numbers have been entered into Now, the completion of the reform and recovery plan that responds to the complex, health and economic crisis,

and the Ministry continues its preparations for the implementation of the general population census when the health and financial conditions allow for it.

She confirmed that the ministry had succeeded in evaluating the performance of three governorates (Muthanna, Diwaniyah, and Najaf al-Ashraf) based on the Diwani order (162 for the year 2020), which is concerned with evaluating the performance of the governors and the governorates.

She pointed out that “the ministry has completed the preparation of the second national voluntary report for sustainable development, in preparation for Iraq’s participation in the high-level political forum to be held by the United Nations next July, and has prepared a strategy for developing and improving the public sector in Iraq, and preparing a framework document for the development of the performance of senior leaders in Iraq.” The preparation of the graduate studies plan at the country level and the admission plan for the medical group.

She continued, “It continued its work related to standardization, quality control, jewelry marking and patent registration, in addition to continuing to follow-up, evaluate and grant accreditation certificates to conformity assessment bodies, as (7) new certificates were granted and renewed (7) others, and the scope of work was expanded to five other bodies before. The Iraqi Accreditation Authority

indicated that it faced challenges that caused obstruction to work, including the Corona pandemic, the lack of allocations, the lack of financial liquidity, and the failure to approve the budget in 2020.

The Ministry of Planning called for giving greater flexibility to rotate employees between state institutions as needed. And granting the Competent Minister broader powers in conducting financial transfers between the chapters of the operating budget and increasing allocations to fulfill financial obligations.   LINK

Biden Extends The “State Of Emergency” In Iraq And Syria For Another Year

Pratha News Agency137 2021-05-07   On Thursday, US President Joe Biden signed a decree extending the “national state of emergency” related to the situations in Iraq, Syria and African countries for another year.

“I am extending for one additional year the system of the declared state of emergency in response to the actions of the Syrian government,” the decree stated.

In addition, Biden signed similar orders to extend the state of emergency regime in some Central African Republics and Iraq.

It is noteworthy that the extension of the state of emergency regime will allow the United States to continue to freeze the property and assets of a number of people associated with the Syrian government, as well as prohibiting the export of some goods.

During its war on Iraq, America declared, under an executive order, a state of emergency in Iraq, to deal with its unusual threat to national security and foreign policy, and to develop political, administrative and economic institutions in Iraq.

Biden said in the decree, “There are still obstacles to the reconstruction of Iraq and the restoration and maintenance of peace and security in the country.”

He added that the development of political, administrative and economic institutions in Iraq constitute an extraordinary threat to the national security and foreign policy of the United States.

Tags: , /