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Tuesday March 25, 5:09 AMPutin: Russia Wants More Work in IraqPresident Vladimir Putin lobbied Iraq's prime minister Monday on behalf of Russian companies trying to get a cut of contracts for rebuilding Iraq's infrastructure, particularly its crucial oil and gas sector. In a message sent to Nouri al-Maliki, Putin said the huge West Qurna oil field was of particular interest, and he noted Russia was expanding its diplomatic presence in Iraq. The message came two days after Iraq's Oil Ministry invited local and international oil companies to bid for contracts providing technical support for two major oil fields in the southern and northern regions. "Our companies are ready to increase their contribution to the restoration and modernization of the economic infrastructure of Iraq, primarily in the energy, oil and gas sectors where we have accumulated rich experience and made good arrangements," Putin said, according to a Kremlin statement. Iraq sits on the world's third-largest oil reserves, totaling more than 115 billion barrels. But the industry is plagued by lack of modern equipment and training after decades of U.N. sanctions, war and Saddam Hussein's ruinous rule. Putin singled out the development of West Qurna's second stage and the upgrade to the Kirkuk-Banias oil pipeline. "I hope that the positive approach of Russian business to the development of cooperation will receive proper support from the Iraqi leadership," Putin said. Russia had strong ties with Saddam's regime dating back to the Soviet Union, but relations withered after the dictator's 2003 ouster by U.S.-led coalition forces _ an invasion Moscow vociferously opposed. Afterward, Russia saw hundreds of millions of dollars of contracts in the oil, gas and power station building sectors frozen. The future of those deals has hinged on approval from Iraq's new leaders _ passage of a new oil law, in particular _ as well as security concerns that followed the abduction and killing of several Russian contractors in Iraq in 2004. OAO Lukoil, one of Russia's largest private oil companies, had a prewar deal to develop West Qurna, but Iraq was under U.N. sanctions at the time. The contract has been held up since the invasion despite persistent efforts by Moscow to restore Russian operations there. Lukoil President Vagit Alekperov has traveled to Iraq on a working visit, the Interfax news agency reported Monday. Lukoil officials could not be reached late Monday to confirm the report. Russia agreed in February to write off $12 billion _ or 93 percent _ of Iraq's $12.9 billion debt to Moscow, a gesture aimed at helping Russian companies win contracts in Iraq. But Iraq has done little publicly to return the gesture. A day after Russia's debt announcement, Iraqi Foreign Minister Hoshyar Zebari said during a trip to Moscow that Russian companies would not get any special advantage over companies from other countries. In the Kremlin statement released Monday, Putin also noted Russia had expanded its diplomatic missions in Iraq. "The Russian consulate established in Erbil in November 2007, we hope, will become an important channel for facilitating cooperation with Iraqi Kurdistan," he said. "We plan to restore our consular mission in the south of the country _ in Basra _ in the foreseeable future." Russian companies are believed to be angling for involvement in the contracts to provide technical support for the Kirkuk field in the north and the Rumaila oil field. In its announcement for bids Saturday, the Oil Ministry said companies interested in providing three-dimensional seismic surveys for the fields had to meet an April 30 deadline. |
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