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Iraq reworks fees to bolster 4th energy auction

Iraq reworks fees to bolster 4th energy auction

Fee structure change to cut subcontract costs; Auction to boost Iraq oil and gas reserves; Companies look for foothold in Iraq despite risks


September 13, 2011 1:07 by

…Iraq’s service agreements. Many favour production-sharing deals.

“The remuneration fee is going to be much bigger, there is no question about that. But that does not necessarily automatically make it more economically interesting because the risks are high,” an oil executive attending the workshop said.

“Access to the crude is far more important than the economics for some, which could make this fourth bidding round, most probably, a success.” (By Rania El Gamal)

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