Monday, April 14, 2008

First Pass: Who Controls Iraq Oil

There are no good reports of who is controlling Iraq Oil, but Ben Lando's article "Iraq oil flow down as funds criticized" provides about the best information possible on this subject:

At the highest level, Iraq appears to be pumping out at 2.3 to 2.4 million barrels a day (bpd) - just over 7% of the total world production. This has increased from just under 2.0M bpd because of increased production (and related security) in Northern Iraq.

According to the Iraqi Oil Ministry, Southern Iraq (e.g., near the hotly-contested Basra-area) is responsible for 1.6M bpd of exports, while the Kurdish-controlled Kirkuk-Ceyhan pipeline is generating 0.35M bpd of exports. The remaining production (~0.4M bpd) is consumed internally.

Interestingly enough, the revenue is collected to an account of the Central Bank of Iraq at the Federal Reserve Bank of New York - it is then distributed to the Iraq Finance Ministry from here.

According to "Facts on Iraq Reconstruction", the Treasury Department estimates that Iraqi oil production this year will generate $35.4 billion.

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