via Cole site, asides are Cole's remarks:Ben Lando of UPI reports on the remarks of former Iraqi petroleum minister Issam al-Chalabi (no relation) at an oil conference in Houston:
' The global energy information firm Platts reports Iraq`s production in January dropped to an average 1.66 million barrels a day from nearly 1.9 million in December. Around 96 percent of Iraq`s budget comes from selling oil, and exports dropped to about 1.2 million barrels, Chalabi said . . .
'They can`t increase; the only way is for production to go down,' said Mohamed Zine, regional manager of the Middle East for energy analyst firm IHS.
'There`s been no improvement, nothing,' said Zine, whose views on the situation in Iraq are often less dramatic than Chalabi`s. 'It`s getting worse.' '
Before the war, Iraq was producing 2.6 mn barrels a day, with a capacity of 3. In January it could only do 1.6 mn barrels a day. There are widespread reports of rapid deterioration of facilities and fields being polluted with water. Lando adds:
' Iraq also pays billions of dollars annually to purchase oil products for transportation, heating and cooking, a change from before the war when Iraq sold such products, Chalabi said . . . Last year an oil ministry spokesman said smuggling is worth $700 million monthly that should go to federal coffers. '>> |
