Monday, December 3, 2012

Citi: Damn, There's A Lot of Oil in Iraq

Iraq appears to be developing into a major expanded oil source. Must have just been coincidence the US invaded the place.

Iraq's oil production is poised to reach heights never seen in its history — neither prior to America's 2003 invasion nor in Iraq's '80s heyday, says CitiGroup commodity team headed by analyst Edward Morse.

In a report, Citi cites one field owned by China's CNPC whose 1997 contract terms were renegotiated after the invasion and whose production target of 120-130 kbpd peak target is now six years ahead of schedule.

Another major oil field, the Majnoon, near the border with Iran, had essentially been shuttered for several decades but is now expected to yield 1.8 million barrels per day.

A second development at the West Qurna field, which didn't exist before the invasion, could yield up to 13 million barrels per day if fully realized.

(ht Business Insider)

1 comment:

  1. The plot of Tom Clancy's great book "Red Storm Rising," published in 1986, is that the Soviets suffer a catastrophic loss in their largest oil refinery and therefore have their total oil output reduced by half. So they decide they're going to invade Iran and Iraq and take all the oil they need. To provide political pretext for this they stage a false-flag attack on the Kremlin.

    Sound familiar?