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View Full Version : Iraqi Oil turns out there's more than we thought...


Bill
04-24-2007, 04:35 PM
Oh, what a prize that will be, when we've stolen their oil!

A new Time Magazine article starts talking about something that I knew about - the untouched giant fields of sweet light crude in Anbar Province.

The Sunni oil. What the oil companies have been calling "The Prize"!

If I knew about it (it was certainly talked about in the oil industry websites, which I read), I don't know why the hell the rest of america didn't know about it - but Time says that this is "new" news.

http://www.time.com/time/world/article/0,8599,1614000,00.html

"Last week a Colorado energy consultancy firm, IHS, stunned some of Iraq's politicians and oil engineers by declaring that the country's oil reserves were about 215 billion barrels — about double the estimates that have held for Iraq for years. That would make Iraq a giant oil power, second only to Saudi Arabia. If the estimates prove true, Iraq's potential would outstrip its other neighbor Iran, which sits atop about 136 billion barrels of oil. The IHS engineers examined 438 undrilled fields and used new technology to recalculate old reservoirs.

But for Iraqi politicians the more dramatic news might be where the country's unexpected reserves lie, rather than their size. The report says about 100 billion barrels of oil and a large amount of gas lie in the Sunni-dominated Al-Anbar province. Until now, Sunni politicians have feared economic devastation if Iraq divided into a federation or imploded into disparate ethnic states, since the territory dominated by their ethnic group was thought to be the only one without large reserves of oil. (Both the Shi'ite south and Kurdish north have productive fields.) "The Western desert has lain dormant," says Colin Lothian, senior analyst on Middle East energy for Wood Mackenzie, an international energy research and consultancy. "It's not out of the realm of possibility."

The fact that Sunni areas hold massive reserves could roil the precarious negotiations over Iraq's proposed new oil law, which would effectively end Iraq's nationalized oil industry"

Bill
04-24-2007, 04:40 PM
I wanted to add this wonderful paragraph at the bottom of the article.

Which has STUNNING implications...

"But with the new estimates of Iraq's oil reserves, the country could potentially produce far more than that — perhaps as much as 10 million barrels a day, according to Shafiq. "Iraq is probably one of the last remaining giant oil places yet to be tapped by the international community," says Lothian of Wood Mackenzie. "There will be huge competition among companies to go into Iraq once the law is enacted and security is established." That could be a long wait. "

Linkster
04-24-2007, 05:10 PM
From 2003 - http://www.brookings.edu/views/op-ed/fellows/luft20030512.htm

Bill
04-24-2007, 06:14 PM
From the link Linkster just posted:

"Over the past several months, news organizations and experts have regularly cited Department of Energy (DOE) Energy Information Administration (EIA) figures claiming that the territory of Iraq contains over 112 billion barrels (bbl) of proven reserves—oil that has been definitively discovered and is expected to be economically producible. In addition, since Iraq is the least explored of the oil-rich countries, there have been numerous claims of huge undiscovered reserves there as well—oil thought to exist, and expected to become economically recoverable—to the tune of hundreds of billions of barrels. The respected Petroleum Economist Magazine estimates that there may be as many as 200 bbl of oil in Iraq; the Federation of American Scientists estimates 215 bbl; a study by the Council on Foreign Relations and the James A. Baker III Institute at Rice University claimed that Iraq has 220 bbl of undiscovered oil; and another study by the Center for Global Energy Studies and Petrolog & Associates offered an even more optimistic estimate of 300 bbl—a number that would give Iraq reserves greater even than those of Saudi Arabia. In a Guardian interview before the war, Taha Hmud Moussa, Saddam's deputy oil minister, said that all of Iraq's oil reserves "will exceed 300bbl when all Iraq's regions are explored."

If true, this would mean that Iraq has roughly a quarter of all of the world's oil. These assessments have been repeatedly cited in news articles, conferences, think tank briefings, congressional testimonies, and academic works because they raise the prospect that America's energy security could significantly improve if Iraq were able to challenge Saudi Arabia's position as the world's preeminent oil producer."

stefan segal
04-24-2007, 07:09 PM
I just heard a new wrinkle offered up by a repug congressman to wit:

If we leave all that oil in Iraq, it will only fund terrorists, so we can't leave because it will threaten our national security...so Bill and Blue, it seems your synocism was well founded...we won't leave until we suck out all the oil.

Stefan