Lack of Skilled Iraqi Employees Preventing Oil Industry Progress

However Ministry spokesperson, Asem Jihad, did refute al-Mashhadani’s numbers, saying that the economist’s projected figures were exaggerated. He may be right. According to other local analysts, an estimated 10,000 workers are needed per each extra million barrels of oil. And then according to international oil firms like British Petroleum (BP), French company Total and Italy’s ENI, Iraq needs anything between just over 5,000 workers per million barrels of oil to just over 7,000.

Recent comments from the Iraqi government also suggest that a more realistic target is around 9 million barrels per day by 2020 – which lowers the number of desired oil industry workers again.

Jihad also noted that oil companies working in Iraq are contractually obligated to train locals in the different provinces. Money that the Iraqi government gets from the oil companies is put toward training and the development of the Iraqi labour market. “Iraqi oil contracts stipulate that foreign companies should employ at least 85 percent locals and not more than 15 percent foreigners.”

Additionally, the government has devoted funds to the establishment of a training institute dedicated to the oil and gas industry. Apparently the foundation stones for the tertiary institute were laid nine months ago but the institute is yet to open, due to ongoing construction work, the building of laboratories and the finalization of a curriculum.

There are also international companies, such as France’s Cegelec in the Basra area, involved in training Iraqis to enter the oil and gas industry.

Because of the clear need for skilled employees in the oil industry, many new graduates or would-be graduates are heading in that direction with their studies.

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