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Iraq has reportedly made an offer to Exxon (XOM) to stay in the country, although it's not clear...

Iraq has reportedly made an offer to Exxon (XOM) to stay in the country, although it's not clear what the proposal involves. Exxon has put its 60% stake in the huge southern West Qurna-1 oilfield up for sale after upsetting Baghdad by signing deals with the Kurdish region, which is in dispute with Iraq over oil resources. Following the offer from Baghdad, Exxon CEO Rex Tillerson met the president of Iraqi Kurdistan at the Davos conference yesterday.
Comments (4)
  • machiavelli
    , contributor
    Comments (427) | Send Message
     
    Must be creepy to work in this industry in the ME and have to fly over there.
    23 Jan 2013, 05:59 AM Reply Like
  • Bob de'Long
    , contributor
    Comments (696) | Send Message
     
    Iraq is chaos.

     

    All the major oil firms [XOM, CVX, PB, TOT, COP] have significant risk in uncivilized hellholes. They'll be lucky to get some of their employees put alive.

     

    Where do you want to put your? Algeria? Iraq, Yemen, Nigeria? Venzeula? South Sudan? Angola?

     

    The alternative is is North America: North Dakota, Alberta, Texas, New Mexico, Louisiana, Oklahoma, Kansas, Ohio, and Utah -- just to name a few of the great oil producing states.

     

    23 Jan 2013, 07:05 AM Reply Like
  • dividend_growth
    , contributor
    Comments (2879) | Send Message
     
    It's not in chaos.

     

    It's only ExxonMobil forcing its own terms on the Iraqi government, with Kurdistan and US onshore as leverage.
    23 Jan 2013, 12:44 PM Reply Like
  • kmi
    , contributor
    Comments (3992) | Send Message
     
    Iraq's negotiators are very experienced and very good and they were driving some real tough deals, making it hard for oil cos to make any money.

     

    I suspect this is an indication that Iraq may be loosening up on some terms to keep big int'l companies drilling. North America's tight oil boom is nice but extraction costs are lower in the mid east, so there's no reason why Iraq can't offer the kind of terms Exxon would want to see to stay there.

     

    In the end, a deal would be good for Iraq, and good for Exxon.
    23 Jan 2013, 07:56 AM Reply Like
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