May 31, 2012
Iraq energy auction ends with 3 of 12 lots sold, tough contracts for unexplored areas blamed
Baghdad, An Iraqi oil official says the government has sold the rights to only three of 12 oil and natural gas exploration blocks in a two-day energy auction.
The lukewarm response was largely blamed on tough contract terms and the fact that only unexplored areas were offered. In three previous energy auctions since 2009, bidders competed for known oil and gas fields.
Oil Ministry spokesman Assem Jihad says that in Thursday's round, a group comprised of Russia's Lukoil and Inpex Corp. of Japan made a successful bid for oil exploration in southern Iraq. He says Pakistan Petroleum won a contract for natural gas exploration in the east of the country.
On Wednesday, a Kuwait-led consortium won rights to search for oil and gas in the south.
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