How Much Iraqi Crude Oil is Being Stolen? Mystery of the Missing Meters

[babylonsister]

http://www.alternet.org/waroniraq/51218/

How Much Iraqi Crude Oil is Being Stolen? Mystery of the Missing Meters

By Pratap Chatterjee, CorpWatch. Posted April 30, 2007.

Nobody really knows how much crude oil is being stolen by corrupt corrupt Iraqi and U.S. officials because, four years after the invasion, the oil meters haven't been fixed.


snip//

Heavily armed soldiers spend their days at the oil terminals scanning the horizon looking for suicide bombers and stray fishing dhows (boats). Meanwhile, right under their noses, smugglers are suspected to be diverting an estimated billions of dollars worth of crude onto tankers because the oil metering system that is supposed monitor how much crude flows into and out of ABOT and KAAOT -- has not worked since the March 2003 U.S. invasion of Iraq.

Officials blame the four-year delay in repairing the relatively simple system on "security problems." Others point to the failed efforts of the two U.S. companies hired to repair the southern oil fields, fix the two terminals, and the meters: Halliburton of Houston, Texas, and Parsons of Pasadena, California.

The Special Inspector General for Iraq Reconstruction (SIGIR) is scheduled to publish a report this spring that is expected criticize the companies' failure to complete the work.

Rumors are rife among suspicious Iraqis about the failure to measure the oil flow. "Iraq is the victim of the biggest robbery of its oil production in modern history," blazed a March 2006 headline in Azzaman, Iraq's most widely read newspaper. A May 2006 study of oil production and export figures by Platt's Oilgram News, an industry magazine, showed that up to $3 billion a year is unaccounted for.

"Iraqi oil is regularly smuggled out of the country in many different ways," an oil merchant in Amman told the Nation (U.S.) magazine last month. "Emir al-Hakim is spending all his time in Basra selling oil as if it were his own. People there call him Uday al-Hakim, meaning he is behaving the same way Uday Saddam Hussein was acting. Other merchants like myself have to work through him with the big deals or smuggle small quantities on our own. The petroleum is now divided among political parties in power."

more...

[indepat]

1. Neoconitis: Systemic corruption and graft on a heretofore unparalleled scale

[lyonn]

3. Apparently we trained them well.... eom

[bemildred]

2. Well, enough to finance the resistance, that seems clear. nt

[babylonsister]

5. Funny, my take is that Halliburton is dragging their feet; what

does that tell you? I think not just the resistance is benefitting...

[bemildred]

6. True. There are many sorts of pirates. nt

[Old and In the Way]

4. We seem mighty interested in their oil laws, too.

And now Iraq wants to take a 2 month vacation from legislating. I suspect that they don't want to pass these laws that give Big Oil 80% of the profits from the oil fields.