IRAQ: IRAQ FORCED TO IMPORT LIQUID PETROLEUM / PETROL TO MEET DOMESTIC DEMAND BECAUSE OF WAR BUT HOPES TO BOOST DOMESTIC OIL PRODUCTION SOON
Record ID:
647576
IRAQ: IRAQ FORCED TO IMPORT LIQUID PETROLEUM / PETROL TO MEET DOMESTIC DEMAND BECAUSE OF WAR BUT HOPES TO BOOST DOMESTIC OIL PRODUCTION SOON
- Title: IRAQ: IRAQ FORCED TO IMPORT LIQUID PETROLEUM / PETROL TO MEET DOMESTIC DEMAND BECAUSE OF WAR BUT HOPES TO BOOST DOMESTIC OIL PRODUCTION SOON
- Date: 6th May 2003
- Summary: (U3) BAGHDAD, IRAQ (RECENT ) (REUTERS) 1. WIDE/ PAN OF AL-DOURA OIL REFINERY (2 SHOTS) 0.09 2. VARIOUS, PIPES LEAKING 0.14 3. VARIOUS OF REFINERY (2 SHOTS) 0.24 (U3) BAGHDAD, IRAQ (MAY 7, 2003 ) (REUTERS) 4. SMV , CHIEF EXECUTIVE OF IRAQ'S OIL SECTOR THAMIR GHADHDBAN, SITTING 0.27 5. SCU (SOUNDBITE) (English) THAMIR GHADHDBAN, CHIEF EXECUTIVE OF IRAQ'S OIL SECTOR, SAYING "We are going to increase the refining capacity and therefore we will have higher capacities of these products, but in the meantime in order to alleviate the difficulties that are faced by our people, we have taken measures to import on a short basis, when I say on a short basis, I am talking about two or three weeks maximum, some gasoline and some LPG that will help facing the current difficulties and especially in the Baghdad area." 1.04 6. CLOSE OF REPORTERS HANDS AS THEY TAKE NOTES 1.07 7. SCU (SOUNDBITE) (English) THAMIR GHADHDBAN SAYING "Oil revenues are the main are the main revenues of hard currency for the Iraqi people ,and Iraqis definitely in dire need for revenues." 1.17 (U3) BAGHDAD, IRAQ (MAY 6, 2003) (REUTERS) 8. WIDE OF IRAQIS QUEUING FOR PETROL AT PETROL STATION 1.20 9. WIDE OF IRAQIS STANDING BY CARS IN ROAD 1.24 10. SMV CUSTOMERS FILLING UP THEIR TANKS (2 SHOTS) 1.31 11. SMV ANGRY CUSTOMERS IN QUEUE 1.36 (U3) BAGHDAD, IRAQ (MAY 8, 2003) (REUTERS) 12. FREE PETROL POINT ESTABLISHED IN NORTHERN BAGHDAD'S AL SEADIYA AREA; IRAQIS FILLING UP TRUCKS AND U.S SOLDIER PATROLLING 1.41 13. SMV SOLDIER WATCHING MAN FILL UP TRUCK 1.46 14. CLOSE OF VEHICLE BEING FILLED WITH PETROL 1.51 15. SCU (SOUNDBITE) (English) UNIDENTIFIED U.S. SOLDIER SAYING "Fuel that Iraqis are used to having, and we are here to support Iraqis get back on their feet and hopefully you guys will enjoy the freedoms that we do." 2.01 16. SMV SOLDIER WATCHING IRAQ FUELLING UP AT FREE U.S. MILITARY REFUELLING POINT 2.07 17. WIDE OF IRAQ'S REFUELLING AT U.S MILITARY POST 2.13 Initials Script is copyright Reuters Limited. All rights reserved
- Embargoed: 21st May 2003 13:00
- Keywords:
- Location: BAGHDAD, IRAQ
- Country: Iraq
- Reuters ID: LVA2PLH17005UZYUL0M74D418TC4
- Story Text: Iraq, which has the second largest oil reserves in the
world, has been forced to import Liquid Petroleum Gas (LPG)
and gasoline to fill the urgent domestic need but it says it
aims to boost production within three weeks.
Following the war, Iraq's oil industry is struggling to
meet the country's needs and authorities have decided to
import LPG (Liquid Petroleum Gas) while waiting for an
improvement in the country's battered infrastructure.
The al-Daura refinery in Baghdad is one of Iraq's three
main refineries which now operate at a combined rate of
180,000 bpd (barrels per day), about a third of pre-war rates.
Baiji and Basra are the other two main refineries.
Each refinery is running on some 60,000 bpd and Iraq's
newly appointed oil sector chief executive, Thamir Ghadhban,
said that is not enough to provide for the people's immediate,
domestic needs and that Iraq needs to produce 1.5 million bpd.
Thamir Ghadhban, recently appointed chief executive of
Iraq's oil sector, told Reuters on Wednesday (May 7) he
expected production to rise to 1.5 million bpd (barrels per
day) in three weeks from a current 200,000 bpd to meet the
country's domestic fuel needs.
Iraq, which has the world's second largest proven oil
reserves, now has to import LPG (Liquefied Petroleum Gas),
popularly used for cooking and vehicle fuel.
"We are going to increase the refining capacity and
therefore we will have higher capacities of these products,
but in the meantime in order to alleviate the difficulties
that are faced by our people, we have taken measures to import
on a short basis, when I say on a short basis, I am talking
about two or three weeks maximum, some gasoline and some LPG
that will help facing the current difficulties and especially
in the Baghdad area," Ghadhban said.
Ghadhban who served as Director General of Planning and
Studies at the oil ministry under deposed Iraqi President
Saddam Hussein, said resuming exports was a pressing need
because it was the country's main revenue source, but said
policy-making was up to a new Iraqi government.
"Oil revenues are the main are the main revenues of hard
currency for the Iraqi people ,and Iraqis definitely in dire
need for revenues," he added.
Before the invasion, Iraq pumped up to 2.5 million bpd and
exported roughly 1.8 million bpd under the U.N. oil-for-food
programme.
The United Nations Security Council is deadlocked over
creating a new legal framework for Baghdad to resume oil
sales.
The United States is expected to put forward a draft
Security Council resolution in the next few days seeking the
lifting of sanctions and a phasing out of the oil-for-food
programme.
Drivers in Baghdad struggle with petrol queues every day,
often waiting for hours.
Dangerous unofficial petrol points have sprung up
throughout the city supplying low-grade petrol at higher
prices.
U.S. forces have tried to alleviate the people's needs by
setting up free petrol stops. They give priority to ambulance
and fire-fighting vehicles.
"Fuel that Iraqis are used to having, and we are here to
support Iraqis get back on their feet and hopefully you guys
will enjoy the freedoms that we do," a U.S. soldier said.
Ghadhban declined to answer a question on the fate of oil
development deals that were agreed in the 1990s by Saddam
Hussein's government. Russian and Chinese signed such deals,
and a France's Total had exclusive negotiating rights over two
major southern fields.
All three countries opposed the U.S.-led war that toppled
Saddam on April 9.
The U.S.-led body handling Iraq's reconstruction has
appointed U.S. oil expert, Phillip Carroll, to lead an oil
ministry advisory board, helped by Iraqi exile Fadhil Othman,
who has more than 20 years experience in the Iraqi oil sector.
It also appointed Ghadhban to run the oil ministry.
Producers all over the world are waiting to see when Iraqi
crude will return to the international market.
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