Petrel Resources - moderated discussion/research part II

Iraq desperately needs foreign investment to revive its shattered economy, which relies heavily on oil export revenues. The country straddles the world’s third largest oil reserves.

Shahristani said Iraq’s long awaited oil law that sets policy to help lure foreign investment will be presented to the government at the start of January. Iraqi officials have said the law would be before parliament before the end of this year.

Senior sources said last week a tentative deal would allow the regions to negotiate contracts with foreign investors but give the central government the final say.

The contract issue is vital to Iraq’s future as a solution favouring the regions would devolve power over its most valuable resource to the majority Shias and the Kurds whose regions are home to the country’s most coveted oilfields. – Reuters