In a statement the Ministry said, “Prior to the Jun 28 transfer of power by the US-led coalition to the Iraqi interim government, [we] had no budget for development projects. Now, the ministry has budgeted US$250 million [alone] for the construction of new pipelines. Other money has been set aside to start work on a new refinery, to refurbish existing ones and to rebuild storage facilities.”
“Under the US-led occupation, the ministry's budget went solely to salaries and other necessities in the ministry, such as copiers and new furniture. After the handover, there was a financial allocation to carry out some important projects,” added the Ministry without elaborating further.
The Ministry also revealed it will soon open tenders to both Iraqi and international companies for E&P projects in the country and no company would be given preferential treatment.
“Upcoming projects will be posted on a new website of the oil ministry and in the media. This will give a chance to a great number of these companies to compete and carry out our projects,” said the Ministry.
“There will be no privileges for any company. The ministry will depend on the best offers to serve the oil sector,” it added.
In related news, according to a report in the Iraqi media, Iraq’s Oil Minister, Thamir Al Ghadhban, has announced his ministry is looking to dig 2,000 oil wells and extend gas pipelines over 3,000 km around Iraq.
Most, if not all of the projects, will be made available in open tender.
According to Thamir, “These projects are part of the ministry’s plan for 2005, in addition to developing existing oil wells. The ministry has 42 projects [alone], within its project of gas pipelines, to be put for investment.”
“There is no sponsorship on Iraqi oil by any side. [My] ministry does not deal with mediators, but deals directly with the source and presents all the projects on the internet, locally and internationally, and follows the existing methods in the world’s biggest companies in implementing projects, by taking the best tenders in the way that serves the Iraqi oil sector and consolidates its productive ability.”
