Today brings us a fresh "success" in the American plundering of Iraq. If you read the New York Times, you learn on the front page that the Iraqis have accomplished something worthy, the equitable sharing of oil revenues among the major regional factions. Nothing else to see here, move along.
Iraqis Reach an Accord on Oil Revenues
However, if you read the Asia Times coverage of the same story, you find that the oil deal was drafted by mercenaries of the US Government and approved by US oil executives. Unsurprisingly, the deal provides very favorable terms for exploitation of Iraq's oil, under the control of a "council" including representatives of US oil companies. Lots to see here, but Bill Keller won't let you see it in the NYT.
US's Iraq oil grab is a done deal
In case there is some doubt about how hard this story is to research, note that the text of the draft "oil law" has been available for days on the Internet. Here it is:
Iraq Oil Law (pdf file)
In case the NYT needs some help finding relevant portions of the law, here are some hints:
ARTICLE 1
OWNERSHIP OF PETROLEUM RESOURCES
Ownership of oil and natural gas is vested in the entire Iraqi Federal Oil and Gas Council in all provinces and regions.
. . .
C. Federal Oil and Gas Council
First: To assist the Council of Ministers in creating Petroleum policies and related plans, arranged by the ministry in coordination with the producing provinces and regions, and to put important legislations for exploration and production based on ARTICLE 9 of this law the ministers council creates an entity to be named "the Federal Oil and Gas Council". The Prime Minister or his/her representative shall be the president of this council, and the council should include:
1- Federal Government’s Ministers from the ministries of oil, treasury, planning, and
cooperative development.
2- The director of the Iraqi central bank
3- A regional government minister representing each region.
4- A representative from each producing province not included in a region
5- Executive managers of from important related petroleum companies including the national Iraqi oil company and the oil marketing company
6- Three or less experts specialized in petroleum, finance, and economy to be hired for a period not exceeding 5 years based on a resolution from the council of ministers.
Second: the Federal Oil and Gas Council holds the responsibility of putting federal
petroleum policies, exploration plans, fields’ development and main pipelines plans
inside Iraq, and this council has the authority to approve any major changes in such
plans and policies.
Third: the Federal Oil and Gas Council reviews and changes the exploration and production contracts that give the rights of petroleum operations according to ARTICLE 9 of this law inside Iraq.
Fourth: the Federal Oil and Gas Council approves the types of exploration andproduction contracts, and chooses the appropriate contract type for the field nature or exploration area or based on offers.
Fifth: the Federal Oil and Gas Council decides the special instructions for negotiations pertaining to granting rights or signing development and production contracts, and setting qualification criteria for companies.
Sixth: To assist the Federal Oil and Gas Council in reviewing exploration and production contracts and petroleum fields’ development plans, the council rely on the assistant of a bureau called the "independent consultants’ bureau" that includes crude oil and natural gas experts, both Iraqis foreigners, this council decides their number, and they should be qualified and have a good reputation and long practical experience
in exploration and production operation and in petroleum contracts, and they should be chosen by consensus of the council and contracted for a renewable one year contract. The independent consultants’ bureau gives its recommendations and advice to the Federal Oil and Gas Council in issues related to rights contracts, fields’ development plans, and any other related issues requested by the Federal Oil and Gas Council.
Seventh: the Federal Oil and Gas Council is the competent authority to approve the transfer of rights among holders of Exploration and Production right and associated amendment of contracts provided this does not adversely affect the national content including the percentage of national participation.
Eighth: the Federal Oil and Gas Council is responsible for ensuring that Petroleum resources are discovered, developed, and produced in an optimal manner and in the best interest of the people in accordance with legislation, regulations and contractual conditions as well as recognised international standards.
Ninth: The Federal Oil and Gas Council have the right to create any entities important for implementing its duties, and to create its bylaws.
Tenth: Members of the Federal Oil and Gas Council can suggest policies and law drafts to the Federal Oil and Gas Council.
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Short version: Iraq's oil will be controlled by a "council," and the council will by controlled by US oil companies.
Have a nice day, Bill Keller, and don't let minor details distract you from covering the real news.