BAGHDAD, Nov. 27 (AKnews) - Representative Bayazid Hassan, a Kurdish member of the Council's Oil and Energy Committee, claimed that the federal Oil Ministry is not allowed to put Exxon Mobil on a blacklist for its contracts with the Kurdistan Regional Government.
The announcements of the Oil Ministry's Contracts and Licenses Department were political threats and not legal measures, Hassan said.
"Companies are put on blacklists for violating the law and the terms of the contract. When a company makes a deal with the Kurdistan Region -- which is a part of Iraq -- it can not be against the law," Hassan said.
Exxon Mobil, the Texas-based hydrocarbon corporation, signed an exploration agreement with the KRG to start drilling in six fields. This has dropped the supermajor right in the middle of a battle between the KRG and the federal government in Baghdad.
Deputy Prime Minister for Energy Hussein al-Shahristani gave Exxon Mobil the choice either to work in the West Qurna field or the fields of Kurdistan, thus threatening to cancel existing contracts with the U.S. supermajor.
The Iraqi Oil Ministry said Saturday that it will prevent Exxon Mobil from participating in the fourth oil licensing round if Exxon does not cancel its contracts with the KRG. Abdul Mahdi al-Amidi, Director General of the Contracts and Licenses Department, said that Exxon Mobil violated the working laws of the Oil Ministry when it contracted with KRG.
"The Ministry is waiting for an the official response from the company before it will be completely prevented from working in Iraqi oil fields," Amidi said.
In the past Baghdad has prevented companies operating in the Kurdistan Region from participating in licensing rounds to develop Iraqi oil fields. Other supergiant oil companies working in southern Iraq, like BP and Royal Dutch Shell, have held off from moving into Kurdistan Region for fear of antagonizing the Iraqi government.
By Wisam Mohammed
RN/CU/AKnews
Source: http://www.aknews.com/en/aknews/2/274875/
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