RPT-FACTBOX-Comparison of Iraq oil law drafts, new and old

Fri Sep 23, 2011 2:08pm GMT
 

(Repeats to fix format. Please see story: Iraq alters oil law
draft to erode Kurdish powers)	
    BAGHDAD, Sept 23 (Reuters) - Recent amendments to Iraq's oil
and gas law have stirred new political tensions between the
central government and the Kurdistan Regional Government in
Iraq's semi-autonomous north.	
    If enacted, the new law would give more power to Baghdad
over all of Iraq's energy resources, including those in oil-rich
Iraqi Kurdistan.	
    Here are some of the major differences between a 2007 draft
oil law approved by the political blocs, including the Kurds,
and the new draft approved by the cabinet in late August and
sent on to parliament for final passage.	
    	
            	
* OLD: Bidding rounds to include discovered, undeveloped fields	
* NEW: Bidding rounds to include all oil and gas fields except
those managed and developed by newly created Iraqi National Oil
Co. (INOC)	
    	
* OLD: Ensured participation of central government, regional
governments and producing provinces in developing resources.	
* NEW: Central government to manage and develop resources.	
	
* OLD: No mention of seat for deputy prime minister for energy
on federal oil and gas council.	
* NEW: Adds deputy prime minister for energy (currently former
oil minister Hussain al-Shahristani) as member of council.	
	
* OLD: Says major groups (Shi'ite, Sunni, Kurdish) to be
represented on oil and gas council.	
* NEW: Omits this article.	
    	
* OLD: Federal oil and gas council to draw up petroleum
policies, and exploration and development plans for fields and
major pipelines.	
* NEW: Council to approve petroleum policies and exploration and
development plans for fields and major pipelines.	
	
* OLD: Oil and gas council to prepare model contracts for
exploration, development and production.	
* NEW: Oil and gas council to approve model contracts for
exploration, development and production.	
    	
* OLD - Iraqi National Oil Company to take over exploration,
development, production, transportation, storage, marketing and
sales.	
* NEW: Iraqi National Oil Company to take over exploration,
development, production, transportation and storage. (Leaves
marketing and sales to State Oil Marketing Organisation (SOMO),
the oil ministry's sales arm)	
    	
* OLD: Regional bodies to carry out procedures of bidding rounds
in the region, with participation of oil ministry, for
exploration, development and production of discovered,
undeveloped fields, except fields managed and developed by INOC.	
* NEW: Regional bodies to participate with oil ministry to carry
out procedures of bidding rounds for exploration, development
and production of discovered undeveloped fields, except fields
managed and developed by INOC.	
       	
Oil Ministry responsibilities:	
	
* OLD: Oil ministry to consult with regional committees and
producing provinces to establish bodies to carry out assignments
of oil ministry.	
* NEW: Deletes this requirement.	
        	
* OLD: Oil ministry to carry out procedures of bidding round in
relation to exploration and development of production of
discovered, undeveloped fields, except fields managed and
developed by INOC.	
* NEW: Oil ministry to carry out procedures of bidding round in
relation to exploration and development of production of all
fields and exploration blocs, except fields managed and
developed by INOC.	
	
 (Writing by Ahmed Rasheed; Editing by Jim Loney and Anthony
Barker)

Market Update

  • Africa
  • US
  • Europe
  • Asia
UK £ USD =1.6368
Euro USD =1.2849
Rand USD =0.0895