Iraq update

While there are significant doubts over whether the Sunni forces known as the Islamic State in Iraq and Syria will capture Baghdad, foreign oil companies are withdrawing at least some staff from the country.

According to Reuters, BP's non-essential people had left but its operations continued, while the Iraq Oil Report revealed that ExxonMobil had also cut staff numbers.

Russian companies in Iraq had reportedly not reduced staff but were working on "contingency plans".

Other reports suggest that China National Petroleum Corporation had started evacuating some staff after a temporary hijacking incident at the Halfaya oilfield, while other Chinese oil companies in Iraq were yet to take such measures.

While most oil companies and contractors were likely to wait and see if there was a full scale assault on Bagdad, social media reports this morning indicated that ISIS militants were 37 miles away from the capital.

The Lowy Institute's Military Fellow James Brown told News Corp media that a push into Baghdad was unlikely.

He also commented on Australian private security firm Unity Resources Group - which had up to 40 security contractors protecting the Australian embassy in Baghdad.

"I think they'd be pretty well prepared for a gunfight," he reportedly said.

"They've got pretty decent military skills compared to ISIS. They've got weapons that are better or equal to the weapons ISIS have."

Meanwhile, the Obama Administration was still weighing up its options, according to various reports.

GLNG train closer to completion

The Santos-operated Gladstone LNG plant has made another milestone, with the Gladstone Observer reporting that the last of the 82 modules for the first LNG train were installed last week.

"The installation of the final module is bringing this world-class liquefaction facility closer to completion," Santos vice president downstream GLNG Rod Duke reportedly said.

Over to the CSG fields which would supply the gas, Santos reportedly revealed that more than half of the almost 50 "golden welds" required for the 420 kilometre pipeline had been completed.

Ukraine pipeline blast

Ukrainian officials reportedly suspect that an explosion on the Urengoy-Pomary-Uzhgorod pipeline in remote central Ukraine yesterday was a terrorist attack.

"The damaged pipeline, which runs about six feet underground, carries Russian gas that is destined for Ukraine, Slovakia, the Czech Republic, Austria, Germany, France, Switzerland, Slovenia and Italy," the New York Times reported.

"It has a capacity of carrying 28 billion cubic meters a year."

While the blast was curiously timed with the Russian government deciding to reduce gas supplies to Ukraine after pricing talks failed this week, state-run pipeline company Ukrtransgaz reportedly managed to localise the damage and continued to provide uninterrupted gas supply.