According to a report from Bloomberg, the chairman of the Iraqi parliament’s Oil and Energy Committee said in London on Tuesday that Iraq will be unable to pass its oil and revenue-sharing laws by this summer because of ongoing political disagreements.
Passage of the law by June or July is “unfeasible,” Adnan Al-Janabi said at a conference organized by the London-based Centre for Global Energy Studies, adding that he hopes the law will be passed by the end of the year.
Still, Iraq is making progress with some of its energy disputes, Al-Janabi said. The Kurdistan region in the north is exporting a combined 100,000 barrels a day of crude and condensate, following an agreement with the central government on payments to foreign companies in Kurdistan, and the central government’s 2011 budget provides for the payment of 200,000 barrels a day, he said.
The Oil and Energy Committee has begun consultations on how to make contracts signed between the Kurdish authorities and foreign companies compatible with national laws, Al-Janabi said. That process will require co-ordination between the committee, the Kurds and the Ministry of Oil.
Al-Janabi said it is “not reasonable or rational” for Iraq to increase production to 12 million barrels a day, one of the targets set by the government. Iraq currently produces about 2.6 million barrels of oil per day.