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While ExxonMobil (XOM) is counting on around 20 new oil and gas projects around the world to...

While ExxonMobil (XOM) is counting on around 20 new oil and gas projects around the world to help reverse its declining output, some analysts are skeptical that the facilities will open on time by 2014 and that they'll bear as much fruit as much as the company expects. And nor will they make up for Exxon's exit from a massive project in Southern Iraq.
Comments (2)
  • Larry Smith
    , contributor
    Comments (2481) | Send Message
     
    Leaving the Iraq project is a good business move by XOM. they are getting paid a per barrel fee by Iraq, but will will have a production sharing agreement with Kurds, which is far more profitable for the company.
    29 Nov 2012, 07:41 AM Reply Like
  • geologist
    , contributor
    Comments (213) | Send Message
     
    Huge multi billion bbl fields are being discovered on the Kurds properties by smaller exploration companies. Gulf Keystone's 14 billion barrel Shaikan Field was discovered on a simple anticline which has surface expression.

     

    That new oil is low hanging fruit, and the Kurds need a big company such as Exxon to be able to move the oil out of the country. Gulf Keystone has to restrict production due to a lack of infrastructure. Exxon has the money and the known how to discover and get the oil out of Kurdistan.

     

    New oil via Production Sharing Agreements is way better than getting a few dollar for each bbl increase in old run down field in Iraq which is what Exxon and other companies are doing now. Regards
    29 Nov 2012, 10:52 AM Reply Like
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