Custom Search

IBBC hold Council Meeting, Sector roundtables, Reception & Dinner for Members on 28 and 29 January

The Iraq Britain Business Council (IBBC) held its Council Meeting, Dinner & Reception for IBBC Members and distinguished guests on 28 January. The Council Meeting, hosted by Baroness Nicholson of Winterbourne, President of IBBC and the Prime Minister’s Trade Envoy to Iraq, Azerbaijan, Turkmenistan and Kazakhstan took place in the House of Lords.

Ms Jwan Khioka, Minister Plenipotentiary from the Embassy of the Republic of Iraq greets IBBC Members and distinguished guests

The Council Meeting was followed by a Reception & Dinner hosted by Brigadier James Ellery CBE at the Cavalry & Guards Club, where Ms Jwan Khioka, Minister Plenipotentiary from the Embassy of the Republic of Iraq greeted more than 40 guests.

After dinner, Dr Heike Harmgart, Managing Director for the Southern and Eastern Mediterranean (SEMED) region at the European Bank for Reconstruction and Development (EBRD) elaborated EBRD’s strategy and business plan for the SEMED region, especially highlighting the business opportunities in the Republic of Iraq.

Dr Heike Harmgart, Managing Director for the Southern and Eastern Mediterranean region at the European Bank for Reconstruction and Development (EBRD), after dinner speaker

The Education, Training and Heritage Sector Table Meeting hosted by IBBC in its London offices on 28^th January was attended by representatives from the UK Embassy of the Republic of Iraq, Bath Spa University, the University of Northampton, Stirling Education, UB Holdings, Unihouse Global, the British Council and the IBBC.

The meeting agreed its over-riding objective is to improve education across Iraq, build in-country capacity and facilitate cooperation between Iraq and international, especially UK, universities. The BC confirmed it is continuing to function in Iraq, albeit at a lower activity level with some restrictions to personnel movement. The proposal for senior representatives of UK universities to visit Iraq was well supported, subject to acceptable security, all parties agreed that involvement of relevant ministries in Iraq is essential to  A number of initiatives to encourage Iraq’ entrepreneurs in were presented, including establishing a Tech Hub in Baghdad, run seminars to assist students aiming to study outside Iraq and setting up an alumni network for Iraqi graduates who has studied in UK. It was agreed that the Chevening Programme had been successful and should continue.

A highlight of the meeting was the detailed presentation of Dr Amir Saadati, Strategic Advisor, City & Guilds MENA (Projects) (https://www.cityandguilds.com/) who gave a detailed presentation on the organisations plan to roll out a number of essential training programmes across Iraq in conjunction with IBBC Member Stirling Education.

IBBC Education, Training and Heritage Sector Table Meeting

The Construction and Infrastructure Sector Table met earlier in the day with Jones Lindgren of Perkins and Will in the chair. The main discussion was about current work and opportunities in the water and environment sectors with Brad Moxham of Pell Frischmann and Steve Rowan of Eame, both active in Iraq, leading the discussion.

The IBBC Executive Committee met in the morning of 29th January. The Committee of IBBC Members, reviews IBBCs activities and advises the management of its future planning. After many years of service Alistair Kett of PWC, Hadi Nezir of UB Holding, Hani Akkawi of CCC retired from the committee. The new committee members are John Curtin of EY, Charles Walker of ZHA, Charlie Burbridge of G4S and Sadar Al-Bebany of Sadar Trading Agencies.

IBBC Executive Committee meeting

The Oil & Gas Sector Table Meeting was hosted by IBBC in its London offices On 29th January was attended by representatives from BP, ExxonMobil, SKA, Constellis, Gulftek, Petrofac, Basrah Engineering Group, the UK FCO and the IBBC. There was wide ranging discussion on the current situation in Iraq and its adverse impact on investment in the country, in particular in the oil and gas sector. There was general agreement that more investment is required to maintain current levels of production, and additional investment will be required to increase production and monetise the extensive associated gas reserves currently being flared.

Oil & Gas Sector Table Meeting

By John Lee.

Petrofac has said that a fall in first-half order intake was partly due to an investigation into the oilfield services company’s dealings in Saudi Arabia and Iraq.

In its results for the six months ended 30th June 2019, Petrofac's Group Chief Executive Ayman Asfari commented:

"Petrofac has delivered good results that reflect solid operational performance across the business.

"New order intake year to date has been impacted by recent challenges in Saudi Arabia and Iraq. 

"Looking forward, the Group has a busy tendering pipeline with around US$13 billion of bid opportunities due for award in the second half of the year."

It added that "no charges have been brought against Petrofac, or any officers or current employees."

Earlier this year, David Lufkin, previously Global Head of Sales for Petrofac International Limited, pleaded guilty to eleven counts of bribery.

(Source: Petrofac)

This weekend, the Iraq Britain Business Council (IBBC) hosted its annual members’ retreat at Cumberland Lodge, Windsor Park, which was generously sponsored by Al Burhan Group.

As with previous years, it was very well attended by over seventy delegates, and allowed our members to mingle and network with representatives of other businesses, civil servants, and Iraqi government dignitaries.

Speakers and organisations represented included:

• Dr Falah Al Amiri, Advisor to the Ministry of Oil, Government of Iraq
• Dr Hameed Ahmed, Deputy Higher Education Minister
• Eng. Dara Rasheed, Deputy Minister of Housing, Construction & Municipalities
• Jon Wilks CMG, HM Ambassador to Iraq
• Beverley Simpson, Director, Department of International Trade (DIT) in Iraq
• Dr Victoria Lindsay, Director, British Council, Iraq
• Emma Sky, Director, Greenberg World Fellows Program, Yale University
• Nicolas Pelham, The Economist
• Professor Toby Dodge, London School of Economics
• Dr Renad Mansour, Chatham House
• Al Burhan Group
• Al Maseer Insurance
• Basra Gateway Terminal
• Bath Spa University
• BP
• Chevron
• Constellis
• EAME
• ENKA
• ExxonMobil
• Financial Times
• G4S
• GulfTek Saudi
• KBR
• Management Partners
• Mosul University
• OiLSERV Kuwait
• Perkins+Will UK, Ltd
• Petrofac
• Petronor
• Pro-Technique Group
• Rolls-Royce
• Serco
• Shire Oak International
• Stirling Education
• Tube Tech International
• TurnKey LLC
• Unihouse Global
• University of Dundee
• University of Liverpool
• University of Northampton
• University of Sheffield
• Wood Plc
• Zaha Hadid Architects

Sessions included discussions and panels on the state of Iraq, contemporary Middle Eastern politics, meetings for our various sector tables (including oil and gas, and construction and infrastructure), economic development strategies for Iraq, and how higher education partnerships could be developed between the UK and Iraq. A biannual council meeting for representatives of our member organisations was also held.

Christophe Michels, Managing Director of the IBBC was happy with how the weekend went:

“As in previous years the Retreat has attracted some of the finest minds from business, academia, politics, media and diplomacy working on Iraq to conduct truly meaningful and intimate discussions”.

Baroness Emma Nicholson, President of the IBBC and the Prime Minister’s Trade Envoy to Iraq, Azerbaijan, Kazakhstan and Turkmenistan said:

“IBBC has had a fantastically happy and hugely productive busy weekend. We call it a retreat, but I am not sure what it was a retreat from! People were working morning, noon, and night, and they were making great achievements, and huge strides in the various different table meetings…one of the best I can ever remember”.

For more information on the Iraq Britain Business Council, visit our website at https://www.iraqbritainbusiness.org/

(Source: IBBC)

By John Lee.

Petrofac has announced that it has secured new awards and contract extensions, with a combined value of over US$30 million, to provide training solutions for key National Oil Company and International Oil Company clients in Oman, the UAE and Iraq.

In Iraq, where Petrofac has delivered more than 50,000 in-country delegate training days since 2010, a contract has been renewed to deliver training solutions.

(Source: Petrofac)

In connection with the UK Serious Fraud Office (SFO)’s ongoing investigation into Petrofac Limited and its subsidiaries (“Petrofac”), on 6 February 2019 David Lufkin, 51, a British national, and previously Global Head of Sales for Petrofac International Limited, pleaded guilty at Westminster Magistrates’ Court to eleven counts of bribery, contrary to sections 1(1) and 1(2) of the Bribery Act 2010.

These offences relate to the making of corrupt offers to influence the award of contracts to Petrofac worth in excess of USD $730 million in Iraq and in excess of USD $3.5 billion in Saudi Arabia.

The charges included the following:

• Badra, Iraq

Payments of approximately USD $2.2 million were ultimately made by Petrofac to two agents in respect of a USD $329.7 million Engineering, Procurement and Construction (“EPC”) contract on the Badra oilfield in Iraq (the “Badra Phase One EPC contract”) awarded to Petrofac in February 2012.

Corrupt offers of payments were also made to an agent to influence the award of contract variations to the Badra Phase One EPC contract, and for the extension of the Badra Operations and Maintenance (“O&M”) contract.  Petrofac was unsuccessful in obtaining these contracts and no payments were made to the agent.

• Fao [Faw] Terminal, Iraq

Payments of approximately USD $4 million were ultimately made by Petrofac to an agent in respect of an O&M contract on the Fao Terminal project in Iraq (the “Fao Terminal O&M contract”).  The Fao Terminal O&M contract, awarded to Petrofac in August 2012, together with yearly extensions awarded in 2013, 2014 and 2015, was worth approximately USD $400 million to Petrofac.

• Saudi Arabia

Payments of approximately USD $45 million were made by Petrofac to its agent in respect of the following contracts awarded to Petrofac in Saudi Arabia, between July 2012 and November 2015:

• Payments of approximately USD $5.8 million were ultimately made by Petrofac to its agent in respect of EPC contracts for the Petro Rabigh Phase II Petrochemical Expansion Project awarded in July 2012 and worth approximately USD $463 million;
• Payments of approximately USD $21.4 million were ultimately made by Petrofac to its agent in respect of EPC contracts for Jazan Refinery and Terminal Project awarded in December 2012 and worth approximately USD $1.7 billion; and
• Payments of approximately USD $19.5 million were ultimately made by Petrofac to its agent in respect of the EPC contract for a sulphur recovery plant as part of the Fadhili Gas Plant Project awarded in November 2015 and worth approximately USD $1.56 billion.

Corrupt offers of payments were also made to its agent for the award of other contracts at the time. Petrofac was unsuccessful in obtaining these contracts and no payments were made to its agent.

David Lufkin will be sentenced at a later date.

The SFO’s investigation into Petrofac’s use of agents in multiple jurisdictions, including Iraq and Saudi Arabia, is ongoing.

Individuals with information potentially relevant to this investigation are encouraged to contact the SFO through our secure and confidential reporting channel.  When providing information please quote ‘Petrofac Investigation’.  Please note that it would be of particular assistance if you could provide your contact details for any further queries or questions that we may have.

(Source: UK SFO)

Petrofac’s Engineering & Production Services (EPS) East business has secured a four-year renewal of a contract for maintenance management services for an international oil company client in Iraq.

Under the agreement, which is worth approximately US$50 million, Petrofac will continue to provide specialist personnel to support maintenance services for existing mature assets and new production enhancement facilities.

Mani Rajapathy, Managing Director, EPS East, commented:

“The renewal of this important contract further strengthens our position in Iraq and is testament to our teams’ performance and service delivery. We look forward to continuing our focus on safe and efficient delivery and the development of local resources in-country.”

Petrofac has been active in Iraq since 2010 and has developed a significant track record in delivering a range of onshore and offshore greenfield and brownfield projects, project management, engineering and consultancy, operations and maintenance and training services.

(Source: Petrofac)

Petrofac has been awarded a contract worth around US$370 million by Basra Oil Company (BOC) for expansion of the Central Processing Facility (CPF), located in the Majnoon Field, Southern Iraq.

Under the terms of the 34-month contract, the lump-sum engineering, procurement and construction (EPC) project scope of work includes two oil processing trains, able to process 200 kbopd.

Petrofac was previously awarded a contract in 2011 and delivered engineering, procurement and construction management for the execution and completion of the existing CPF at Majnoon.

Elie Lahoud, Group Managing Director, Engineering & Construction - Iraq, Oman and Saudi Arabia, commented:

"We have developed a significant track record in Iraq with enhanced local delivery, successfully providing services both onshore and offshore since 2010. This important contract win demonstrates Petrofac's long-lasting client relationships and our ongoing commitment to extending our operations in this key market that complements our broad service capabilities, international experience and expertise."

(Source: Petrofac)

IBBC holds annual Cumberland Lodge Conference with Political, Academic, Education and Business Experts, 6-8 July

The Iraq Britain Business Council hosted its annual Cumberland Lodge Retreat on 6-8 July, inviting a host of political, business, academic and education experts to discuss the most pertinent issues relating to Iraq and its future.

The title of the conference was ‘Iraq: Domestic Expectations & Geopolitical Aspirations’ and addressed a variety of issues on regional politics, election diagnosis and the future of higher education in Iraq.

On Friday members and guests heard speeches from Baroness Nicholson of Winterbourne, President of IBBC and the Prime Minister’s Trade Envoy to Iraq, Dr Edmund Canon Newell, Principal of Cumberland Lodge, Mr Nazar Mirajan Mohammed, Minister Plenipotentiary Iraq Embassy and Sara Akbar, Founder Member of IBBC, Kuwait Government Adviser and CEO of new IBBC member OiLSERVE.

The conference also featured in-depth discussions with high level representatives from the Government of Iraq, including Dr Abdul Razzaq Al-Issa, Minister of Higher Education and Scientific Research, Dr Adbul Kariem Al Faisal, Chairman of the PM’s Advisory, Dr Dara Rasheed, Deputy Minister for Construction, Housing and Municipalities and Deputy Head of Refaato and Dr Salah Hadi Saleh Alhashim, DG for Scholarships at he Ministry of Higher Education and Scientific Research.

Agenda & Speakers

Session 1: Present Situation in Iraq

Chair: Baroness Nicholson of Winterbourne

Dr Barham Salih MP, Coalition for Democracy, Jon Wilks CMG (tbc), HM Ambassador to Iraq, Dr Renad Mansour, Research Fellow, Chatham House, Professor Toby Dodge, Director Middle East Centre, LSE

Session 2: Iraq in a Regional Perspective

Chair: Dr Renad Mansour, Research Fellow, Chatham House

Sara Akbar, CEO Oil Serve Kuwait

Session 3: China and Iraq

Chair: Botan Osman, Managing Director, Restrata

Raffaello Pantucci, Director of International Security Studies, RUSI

Session 4: IMF view on Iraq

Chair: Gavin Wishart, Board Member, IBBC

Gavin Gray, Mission Chief for Iraq, IMF

Session 5: Partnerships between British and Iraqi Universities

Chair: Dr Victoria Lindsay, Director British Council Iraq

Professor Obay Al Dewachi, President of Mosul University, Professor Nick Petford, Vice Chancellor, Northampton University, Professor Mohammed Al Uzri, Honorary Professor with Social and Epidemiological Psychiatry Research Group, Leicester University, Professor John Strachan, Vice Chancellor, Bath Spa University

On Saturday 7, an after dinner speech was given by Dr Mohammed Jasim, Library Director of Mosul University, who gave an impassioned presentation on the progress made in rebuilding the university’s dilapidated library.

IBBC would like thank the staff at Cumberland Lodge, all speakers and delegates who contributed to the extremely fruitful discussions, and to its members, with representatives attending from Al Burhan Group, Al Nukbha OFS, Bath Spa University, BP, Olive Group, Eversheds Sutherland, G4S, KBR, Menzies Aviation, Mosul University, Najaf Chamber of Commerce, OiLSERV, Penspen, Perkins+Will, Petrofac, Restrata, Serco, Shell, TurnKey LLC, University of Leicester, University of Northampton and Wood.

(Source: IBBC)

Petrofac has secured a new award and a number of contract extensions, with a combined value of more than US$110 million, for construction management, engineering, commissioning and start-up services for international oil company clients in Iraq.

Petrofac has been active in Iraq since 2010 and has developed a significant track record in delivering a range of onshore and offshore greenfield and brownfield projects, project management, engineering and consultancy, operations and maintenance and training services.

Mani Rajapathy, Managing Director, Engineering & Production Services East, commented:

“The extension of our Iraq portfolio is part of our ongoing growth strategy. We continue to expand our service delivery in-country through the development of strong client relationships, whilst remaining competitive in a maturing market.

“These contract extensions and additional contract award from major international oil companies further enhance our position, where our focus remains on operational excellence, the development of local resources, and safe project execution.”

(Source: Petrofac)

By John Lee.

Shell has reportedly exited the Majnoon oilfield and handed over its operations to the Basra Oil Company (BOC).

Sources told Reuters that the handover was formalised on Wednesday, and that the process was "smooth".

According to the news agency, Anton Oilfield Services (AntonOil) and Petrofac will now operate the giant oilfield on behalf of the BOC, under a two-year contract; last month, KBR announced that it will has been awarded a contract for the development of the field.

(Source: Reuters)