Iraq Signs Oil Deal With China Worth Up to $3 Billion

[katty]

more:
http://www.nytimes.com/2008/08/29/world/middleeast/29iraq.html?_r=1&ref=world&oref=slogin

Iraq Signs Oil Deal With China Worth Up to $3 Billion

By ERICA GOODE and RIYADH MOHAMMED
Published: August 28, 2008

BAGHDAD — In the first major oil deal Iraq has made with a foreign country since 2003, the Iraqi government and the China National Petroleum Corporation have signed a contract in Beijing that could be worth up to $3 billion, Iraqi officials said Thursday.

Times Topics: IraqUnder the new contract, which must still be approved by Iraq’s cabinet, the Chinese company will provide technical advisers, oil workers and equipment to help develop the Ahdab oil field southeast of Baghdad, according to Assim Jihad, a spokesman for Iraq’s Oil Ministry. If the deal is approved, work could begin on the oil field within a few months, Mr. Jihad said.

He said that Iraq had agreed to provide security for Chinese workers and that the Chinese company would also bring its own security team.

The 22-year contract is a renegotiated version of a 1997 agreement between China and Iraq under Saddam Hussein. The original contract included production-sharing rights, but under the new contract China will be paid for its services but will not share in profits.

[daggahead]

1. Hey! That's OUR oil!

This would be so funny, if it wasn't so damn sad.