Iraq oil minister says cope with Exxon shut, slowed by evacuation

Iraqi Oil Minister Thamer Ghadhban speaks to the media on the ministry's headquarters in Baghdad, Iraq Could 16, 2019. REUTERS/Khalid Al-Mousily

JEDDAH, Saudi Arabia (Reuters) – A serious oil deal between Iraq and Exxon Mobil was “very shut” however had been slowed by Exxon’s choice on Saturday to evacuate its worldwide workers from the West Qurna oil subject, Iraq’s Oil Minister Thamer Ghadhban stated on Sunday.

“Had we concluded we’d have signed a heads of settlement,” he stated, referring to a preliminary doc that will set out phrases of cooperation on the South Built-in Challenge. “However now they’re in another country, why ought to I run after them?” he stated at an oil assembly in Jeddah.

Iraqi oil officers say Exxon evacuated all of its international workers from the West Qurna 1 subject on Friday and Saturday, about 60 folks. The U.S. oil main has a long run contract to enhance the sphere.

Its evacuation got here days after Washington despatched non-essential workers dwelling from the U.S. embassy in Baghdad over what it stated was a safety alert attributable to threats from Iran, which has shut ties to Shi’ite militia teams working in Iraq.

The US is ramping up sanctions stress on Iran, particularly over oil exports. Iraq depends closely on pure fuel from Iran for its electrical energy provide, which is stretched throughout scorching summer season months.

Ghadhban stated there have been quite a lot of methods Iraq may compensate in case Iranian fuel provides have been diminished, together with utilizing fuel oil shops in some energy crops, however to date there had been no change in provides.

Ghadhban individually stated Iraq has virtually 5 million barrels per day of oil capability, with a present surplus capability of round 400,000 bpd

“We’re [producing] round 4.5 mln bpd, which is our manufacturing charge that we agreed to in December final yr,” he stated.

Reporting by Stephen Kalin in Jeddah; Writing by Lisa Barrington; Enhancing by Peter Graff

Author: Maxwell C.

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