Iraq Oil Output Predicted to Double Soon

ap ^ | 5/23/03

[Ranger]

BAGHDAD, Iraq May 24 —

The acting oil minister of postwar Iraq predicted Saturday that crude production would double within a month and oil exports would resume "within three weeks."

Thamer al-Ghadhban said Iraq was currently producing 700,000 barrels of oil a day and working hard under U.S. occupation to increase that number as quickly as possible.

"It is a matter of a few weeks, and we can reach 1.3 or 1.5 million barrels a day," al-Ghadhban said at a coalition-sponsored news conference in the capital.

Prewar production under Saddam Hussein was about 3 million barrels daily.

Iraq is being watched closely by the world's financial markets to see when its exports would resume, and al-Ghadhban said it would not be long.

"Within three weeks we will be exporting," he said, adding an even more optimistic goal: "We hope in two weeks time we will be in the market."

Oil production is considered pivotal to the rebuilding of postwar Iraq, and the United States wants to use oil profits to fund the country's reconstruction.

The lifting of U.N. sanctions on Thursday paved the way for Iraqi oil sales overseas for the first time since the U.S.-led invasion began March 20.

[Reeses]

This is a bad nightmare for the Democrats. Oil prices are falling. The US economy will start to improve, and Bush and other Republicans will be re-elected.

[Prodigal Son]

Good news! I've read reports in the past weeks that reckon that when Iraq gets fully online they might even be able to pump more out of the ground per day than the Saudis. Iraqi oil is cheaper to produce as well (from what I've heard). This is going to make the Saudis squirm.

[Prodigal Son]

Here's some more related tidbits:

Pre-war Iraq oil contract void

Existing Iraqi oil supply contracts have been declared void under the new UN resolution to lift sanctions, reported Reuters. Diplomats said contracts signed by the previous government would not be honoured. But with the lifting of sanctions last week oil exports are expected to resume next month.

New Iraq oil boss says no middlemen

New chief of the Iraqi State Oil Marketing Organisation Mohammed Al Jibury told Reuters that Iraq would now sell to end-users and refiners and drop the middle-men of the past decade. He said it is our intention to go back to the pre-1990 policy when we could do business in a professional rather than a political manner.

[SamAdams76]

The free flow of Iraqi oil will do far more to rebuild Iraq than any jive UN plan. And faster. I think the Bush Administration is playing this low-key because they are sensitive to accusations that this war was over oil and certainly they don't want to appear to be salivating over it. But let's face it, the exports of oil from a free Iraq is not only a great thing for the Iraqi people but it will be a very good thing for the U.S. economy, making us much less dependent on the Saudis. Which is a very good thing.

[Cobra64]

"...and the United States wants to use oil profits to fund the country's reconstruction."

And! Profits to the United States and Britain to pay for our funding of the war in liberating those poor Iraqi bastards.

[Reeses]

Profits to the United States and Britain

Not true, that might be considered stealing. We're not charging poor countries for cleaning out their terrorists. We will have control driving down world oil prices once the Iraq oil fields are developed. That will pay for the war indirectly. Also we'll save big money from more peace in the Middle East and less terrorists blowing up our cities.

[freedumb2003]

>> Iraqi oil is cheaper to produce as well <<

Lordy lordy -- you mean that Bush's plan to protect the oil fields instead of museums was a GOOD idea? Wow! Who would have thunk it??? (/sarcasm)

Don't forget -- every time a Democrat Liberal gasses up at what is now .30 less a gallon than a month ago, they can thank the Evil Conservatives for the $$ in their pocket -- and they KNOW it and probably can't stand the economic version of "survivor's guilt."