Iraq’s World Biggest Oil Reserves

IRAQ has announced a dramatic increase in the official size of its oil reserves, which could exceed Saudi Arabia's and be the largest in the world.

The Iraqi Deputy Prime Minister said new exploration showed that his country has the world's largest proven oil reserves, with as much as 350 billion barrels.

The figure is triple the country's present proven reserves and exceeds Saudi Arabia's estimated 264 billion barrels of oil.
Barham Salih told The Times that the new estimate had been based on recent geological surveys and seismic data compiled by “reputable, international oil companies. This is a serious figure from credible sources.”

The Iraqi Government has yet to approve a national oil law that would allow foreign companies to invest.

Mr Salih said that the legislative delay was damaging Iraq's ability to profit from oil output, robbing the country of potentially huge revenues that could be used to rebuild after the 2003 invasion led by the US.

With oil selling for more than $US127 dollars a barrel and demand rising, Mr Salih is frustrated over Iraq’s struggle to establish a regulatory framework.
BP, Exxon Mobil, Chevron, Royal Dutch Shell and Total have been queuing for rights to exploit Iraqi reserves.

Mr Salih confirmed that Iraq was negotiating the outlines of two-year deals with some of these companies and blamed delays partly on conflicts over jurisdiction with the Kurdistan Regional Government, which has been negotiating its own contracts with foreign groups.