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Iraq oil auction fizzles

Iraq oil auction fizzles

The first international bidding process in more than 30 years for development rights to some of Iraq's oil fields has finished, with only one field being awarded.
Iraq had offered six oil and two gas fields in a landmark auction the government hoped would help boost output to 4 million barrels per day and generate cash it desperately needs for postwar reconstruction.
But the bidding round Tuesday faltered quickly as companies demanded terms far greater than what the government was willing to provide.
The country, which sits atop 115 billion barrels of crude reserves, currently produces about 2.4 million barrels per day and was hard hit by the collapse of oil prices in the second half of 2008.


Updated : 2021-03-09 18:09 GMT+08:00