U.S. Oil Companies Lose Out in Iraq Oil Auction

[Purveyor]

European and Asian bidders were the big winners in this weekend’s auction of Iraq’s lucrative oil field auction while U.S. companies were left out in the cold.

According to a report in the Financial Times(http://www.ft.com/cms/s/0/20016a3a-e81c-11de-8a02-00144feab49a.html?nclick_check=1), European companies Royal Dutch Shell, Gazprom, and Lukoil, and Asian companies China’s CNPC and Malaysia’s Petronas were the big winners. This was the second auction of Iraq’s oil reserves, and reportedly the largest in history. The reserves auctioned off total more than the reserves of Mexico, the U.S. and the U.K. combined.

In June, at the first such auction, BP was the first western oil group to be allowed access to the Iraqi fields since the industry was nationalized in 1972.

Speaking before the Congressional Natural Gas Caucus in October, oil magnate T. Boone Pickens said the cost in lives and money entitled U.S. companies to some of the Iraqi crude.

“They’re opening them (oil fields) up to other companies all over the world. We’re entitled to it,” he said. “Heck, we even lost 5,000 of our people, 65,000 injured and a trillion, five hundred billion dollars. We leave there with the Chinese getting the oil.”

http://www.digitaljournal.com/article/283842

[hobbit709]

1. The neocons even botched stealing the oil.

[LooseWilly]

3. hehehehehe... touche.

And only old T. Boone has the unmitigated gall to acknowledge it...

Irony. :+

[Goldstein1984]

2. Every once in a while, karma gets a lick in

Practically speaking, as an American I guess I should consider this a bad thing.

But emotionally, I'm just enjoying it too much.

[truth2power]

5. First thing I thought of was, "Good!"...

I know. Most people would think it a good thing that we "won" the war. But I'm goddamn sick and tired of our evil empire being able to go marauding around the world stealing everyone's resources and killing innocent people for our greed.

The only thing that's going to stop this insanity is getting our ass handed to us...sometime, somewhere.

[Goldstein1984]

7. Iraq isn't over yet. If everything goes to hell the moment we

pull out of there (if we do anytime soon), then we failed.

I think we're going to get our asses handed to us in Afghanistan. I confess that I hope we do. With a little less hubris, we might become a better citizen of the world.

[dysfunctional press]

4. "Heck, we even lost 5,000 of our people, 65,000 injured..."

hey, t-bone, you dumbfuck- A WHOLE LOT more innocent iraqi civilians were killed during our ILLEGAL INVASION. it's THEIR land THEIR country, and THEIR oil, to do with what THEY like. OUR casualties are OUR problem- not theirs.

[Joe Chi Minh]

10. Comprehensive, yet nice and concise.

[timeforpeace]

6. It's all for oil!!!11!!!1 Funny how the oilmen never got a drop out of Iraq. Think about it.

[dysfunctional press]

9. actually- american companies were awarded some iraq contracts last week, iirc.

[timeforpeace]

12. Are you being disingenuous by ignoring the oilmen (ie Bush, Cheney et al) reference?

[dysfunctional press]

18. i just thought that you were referring to american oil companies in general.

i've not all that familiar with that nickname being used collectively in reference to the past cabal- and the op that you responded to is about u.s. oil companies- not bush and cheney.

[dixiegrrrrl]

8. Damn !!!!!!!! Did the worm turn? Did hell freeze over??

I cannot believe that Pickens said that aloud.
Tis true that Cheney sold his soul, and many many lives, to profit on the oil, but I cannot believe Pickens would admit that in public.

Glad to see the greedy bastards under estimated the Iraqi's. God, the Iraq's musta loved that moment.

[dixiegrrrrl]

11. Here is link to full story, you do not have to register at this site.

http://www.digitaljournal.com/article/283842
And the key issue is answered here:

"American companies walked away with stakes in just two of the 10 auctioned fields. Seven American companies had paid to participate in the second auction, which began Friday. The only one that submitted a bid lost. Two American companies reached deals for fields auctioned in June."

So, american companies did bid, but lost.
Don't now what the bidding rules were, I assume it was price per barrel they would pay the Iraqis.

[Tierra_y_Libertad]

13. "We're entitled to it.." Pretty well sums up 'Murka's view of the world. K&R

[hunter]

14. Remember, it's the size of these reserves as claimed by the U.S. and Saddam Hussein...

Suckers.

It sounds to me like the U.S. oil companies got some insider information, like maybe some more realistic numbers about the size of these reserves and information about US willingness (and ability...) to protect them.

I suspect most of the world's oil reserves are vastly inflated because the oil companies seem to be more interested in short term share values than long term market share, and oil producing nations seem to be most concerned about their ability to borrow and attract investment today.

[walldude]

15. "We’re entitled to it,"

Unfuckingbelievable. We illegally invade their country, destroy their infrastructure, hold phony elections, kill hundreds of thousands of innocent people and now we're "entitled" to their oil. Gee I wonder what this fucking asshole would say if the shoe was on the other foot.

[Turbineguy]

16. Bush's war

added $30 per barrel to Iraq's oil. And the US does not get the money back.

When Bush got the nomination oil was at $10 per barrel. When he took office it had risen to $30. By September of 2001 it had dropped back to $20 because he hadn't attacked anybody yet. According to my calculations the world paid an extra $17 Trillion for oil thanks to Bush being US President during the Bush years. This cost still goes on and will for many years.

[whosinpower]

17. But the real sticky point is this -

Is the oil going to be traded in US dollars? If so, then strategically speaking - Bush succeeded. If my memory serves correct, Hussein switched trading to euros, or threatened to do so - and then Iraq suddenly was a dire threat, had WMD, etc, etc, etc.

[Mira]

19. Karma never sleeps N/T K&R