Nechirvan Barzani:
Government Will Continue With The Contracts And they Will Be Implemented
ARBIL, Iraq, Nov 26, 2007 (AFP) - The Kurdistan regional government defied
Baghdad on Monday, vowing to sign more contracts with international oil firms
despite the national government's opposition.
"The (regional) government will continue with the contracts and they will be
implemented," its prime minister Nechirvan Barzani said.
"No one can cancel any contract of the KRG (Kurdistan regional government)
signed with foreign companies," a defiant Barzani told reporters in the regional
capital Arbil.
Iraqi Oil Minister Hussain Shahristani has declared all oil contracts between
the Kurdish administration and foreign companies null and void, saying they have
been signed illegally in the absence of a national oil law.
Barzani insisted the contracts are legal and fall within the provisions of the
region's constitution.
The Kurdish government has inked 15 exploration and export contracts with 20
international companies since it passed its own oil law in August, infuriating
the Baghdad government.
The regional government says the contracts will benefit all Iraqis as 85 percent
of the returns from the deals will be for Iraq and the rest will go to the
contractor.
Iraq's oil and gas bill is stalled in the national parliament amid bitter
differences between rival factions.
When approved, the new law will open up Iraq's long state-dominated oil and gas
sector to foreign investment.
