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Iraq: Now the real Mission has been acccomplished

Remember that "vision" quite a few years ago of George Bush on the deck of an aircraft carrier declaring Mission Accomplished in Iraq. Of course, little Shrub was way off the mark as the tragedy in Iraq has shown. BUT, the real Mission of the invasion has now, almost, been achieved.

"By 2010 we will need [a further] 50 million barrels a day. The Middle East, with two-thirds of the oil and the lowest cost, is still where the prize lies." - US Vice President Dick Cheney, then Halliburton chief executive officer, London, autumn 1999

US President George W Bush and Vice President Dick Cheney might as well declare the Iraq war over and out. As far as they - and the humongous energy interests they defend - are concerned,

On Monday, Prime Minister Nuri al-Maliki's cabinet in Baghdad approved the draft of the new Iraqi oil law. The government regards it as "a major national project". The key point of the law is that Iraq's immense oil wealth (115 billion barrels of proven reserves, third in the world after Saudi Arabia and Iran) will be under the iron rule of a fuzzy "Federal Oil and Gas Council" boasting "a panel of oil experts from inside and outside Iraq". That is, nothing less than predominantly US Big Oil executives.

The law represents no less than institutionalized raping and pillaging of Iraq's oil wealth. It represents the death knell of nationalized (from 1972 to 1975) Iraqi resources, now replaced by production sharing agreements (PSAs) - which translate into savage privatization and monster profit rates of up to 75% for (basically US) Big Oil. Sixty-five of Iraq's roughly 80 oilfields already known will be offered for Big Oil to exploit. As if this were not enough, the law reduces in practice the role of Baghdad to a minimum. Oil wealth, in theory, will be distributed directly to Kurds in the north, Shi'ites in the south and Sunnis in the center. For all practical purposes, Iraq will be partitioned into three statelets. Most of the country's reserves are in the Shi'ite-dominated south, while the Kurdish north holds the best prospects for future drilling."

Read the full story from Asia Times here. Meanwhile, Common Dreams details the same story:

"The U.S.-backed Iraqi cabinet approved a new oil law Monday that is set to give foreign companies the long-term contracts and safe legal framework they have been waiting for, but which has rattled labor unions and international campaigners who say oil production should remain in the hands of Iraqis.

According to local labor leaders, transferring ownership to the foreign companies would give a further pretext to continue the U.S. occupation on the grounds that those companies will need protection.

Iraqi workers walking at Iraq's largest refinery complex in Baiji, some 200 kilometres (140 miles) north of Baghdad. Iraq's cabinet approved Monday a draft law on oil revenues that is seen as cover for privatization. (AFP/File/Karim Sahib)
Independent analysts and labor groups have also criticized the process of drafting the law and warned that that the bill is so skewed in favor of foreign firms that it could end up heightening political tensions in the Arab nation and spreading instability.

For example, it specifies that up to two-thirds of Iraq's known reserves would be developed by multinationals, under contracts lasting for 15 to 20 years."

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