Wednesday, November 20, 2024
THE OIL AND GAS LAW RETURNS TO THE FOREFRONT… WILL AL-SUDANI BE ABLE TO RESOLVE THE DISPUTES OVER IT? WITH COMMENTS BY MNT GOAT, 20 NOV
THE OIL AND GAS LAW RETURNS TO THE FOREFRONT… WILL AL-SUDANI BE ABLE TO RESOLVE THE DISPUTES OVER IT?
(Iraqi is going to play it close on this one. Can the get this passed on time for the early 2025 target for the reinstatement? Will the let the reinstatement go anyhow?)
Talk returns about the oil and gas bill that has been absent for two decades due to political differences, despite the fact that it represents the only solution to all the problems of the center and the region.
MP Ali Al-Mashkoor, a member of the Parliamentary Oil and Gas Committee, attributed the delay in approving the Oil and Gas Law to points of contention behind which the Kurdistan Region of Iraq stands. It is noteworthy that the Oil and Gas Law has undergone 11 amendments and has never reached Parliament.
Al-Mashkoor said in a press statement, “The law has been in place since 2008 and was sent to the House of Representatives to regulate the financial and oil matters of the producing provinces,” explaining that “this law cannot be passed except with political approvals from the blocs within Parliament.”
He added, “The reason for the suspension of this law in the corridors of the House of Representatives is the failure to send its latest updates, as there are clear points of disagreement with the region,” indicating that “the dialogues with the region resulted in reducing these articles from 9 to 7 points.”
He explained that “dialogues are still ongoing between the federal government and the region in order to resolve these points,” noting that “until now we have not reached solutions that can be accepted by both parties.”
Yesterday, Wednesday, Prime Minister Mohammed Al-Sudani visited the Kurdistan Region of Iraq to discuss a number of important files, including the oil and gas law.
Iraq’s oil and gas law, which has been awaiting legislation since 2005, stipulates that responsibility for managing the country’s oil fields should be vested in a national oil company, overseen by a federal council specializing in this matter.
The Kurdistan Oil Law stipulates that the Ministry of Oil in the region or whoever it authorizes shall assume responsibility for organizing and supervising oil operations as well as all activities related to them, including marketing oil, as well as negotiating and concluding agreements and implementing all licenses, including oil contracts concluded by the regional government. The Iraqi government also has the right to participate in the management of fields discovered before 2005, but fields discovered after that are subject to the regional government.
On February 21, the Federal Supreme Court ruled that the federal government would be responsible for paying the salaries of Erbil government civil servants, with the amount paid at source in Baghdad deducted from the regional government’s share, and the KRG must submit monthly accounts detailing each salary paid. This is effectively a stricter reset of the original “budget payments for oil revenues” deal agreed between the KRG and the federal government in November 2014.
There are no government statistics on oil exported from the Kurdistan Region of Iraq, but the Iraqi Ministry of Oil published an analysis in May 2023, saying the regional government had committed “legal and procedural violations” in selling oil that caused significant losses.
The financial returns of the regional government constitute no more than 80 percent on average after deducting the production costs (the cost of producing a barrel of oil), while the financial returns of the first and second licensing rounds (held by Baghdad) constitute from 94.5 percent to 96.5 percent, and the cost of production is equivalent to (4) times the production costs in the licensing rounds of the federal Ministry of Oil, according to the Ministry of Oil.
Iraq exports an average of 3.3 million barrels of crude oil per day, and black gold constitutes more than 90 percent of the Iraqi treasury’s resources.
In August 2023, the government formed a committee to draft the oil and gas law and present it to the government for voting and try to pass it in the House of Representatives. The committee included the Minister of Oil, the Minister of Natural Resources in the Kurdistan Region of Iraq, the Director General of SOMO, and senior staff in the Federal Ministry of Oil, in addition to the producing governorates such as Basra, Dhi Qar, Maysan, and Kirkuk.
For years, the points of contention between Baghdad and Erbil have not been resolved, but Al-Sudani recently revealed that an agreement had been reached with Erbil on these points, in addition to including in his ministerial program the resolution of these items, most notably the enactment of the Oil and Gas Law and the implementation of Article 140 regarding the disputed areas.
In mid-February 2022, the Federal Court issued a decision declaring the oil and gas law in the Kurdistan Region of Iraq unconstitutional, and prevented it from exporting oil for its own benefit, with the export to be through Baghdad exclusively, based on a lawsuit filed by the Federal Ministry of Oil.
MNT GOAT COMMENT:
(As I have said many times when they decide to settle Article 140 issues then also the Oil and Gas law will come into place too. The these two issues are connected. The census we also learn about today is all part of settling these issues. Remember the Iraqi constitution must be fully implemented in order to see the reinstatement of the dinar. These are the last and most important issues still remaining.)
Finishing touches on getting off the currency auction dollar and freeing the IQD by end of the year BY MNT GOAT, 20 NOV
😊Finishing touches on getting off the currency auction dollar and freeing the IQD by end of the year:
“WHAT DID IRAQ ACHIEVE IN ITS MEETINGS WITH THE US TREASURY, AND DID IT SUCCEED IN CONTROLLING THE SALE OF THE DOLLAR?”
“EXCHANGE RATES WILL RISE FURTHER.. WARNING OF AN IMMINENT ECONOMIC CRISIS DUE TO THE “COLDNESS” OF THE CENTRAL BANK” (Note: this opinion is due to only having 4 current banks set up as correspondent exchange banks used in place of the CBI currency window…it’s called fear mongering by economists wanting more knowledge of what the CBI intends to do.)
“AL-ARAJI: IRAQ STANDS ON THE CUSP OF A HISTORIC DIGITAL TRANSFORMATION”< /span>
“THE FUTURE OF INTERNATIONAL TRADE TRANSACTIONS IN US DOLLARS IN IRAQ” (Note: The final blow to the US Dollar controlling Iraqi trade dominance and the dinar rate artificial suppression)
“THE OIL AND GAS LAW RETURNS TO THE FOREFRONT… WILL AL-SUDANI BE ABLE TO RESOLVE THE DISPUTES OVER IT?” (Note: we also read about the resolution of Article 140 in last week’s Newsletter, this also will be needed to reinstate)
WHAT DID IRAQ ACHIEVE IN ITS MEETINGS WITH THE US TREASURY, AND DID IT SUCCEED IN CONTROLLING THE SALE OF THE DOLLAR?, 20 NOV
WHAT DID IRAQ ACHIEVE IN ITS MEETINGS WITH THE US TREASURY, AND DID IT SUCCEED IN CONTROLLING THE SALE OF THE DOLLAR?
The Central Bank of Iraq announced progress in monitoring procedures for foreign transfers and sales operations. Dollar Monetary and providing protection to the banking and financial sector from the risks of money laundering operations, following the ongoing discussions of the Central Bank Iraqi with the Federal Reserve and the US Treasury.
The bank’s governor, Ali Al-Alaq, said in press statements that “the ongoing quarterly meetings with the Federal Reserve and the US Treasury Department, within the framework of organizing operations and coordination between the two sides, which have close relations, led to…The agreement on procedures and formulas that are consistent with best international practices and standards. The latest was the plan to organize foreign transfer operations by rebuilding them according to new standards and methods.”
Al-Alaq stressed that “Iraq has achieved 95% progress in terms of monitoring procedures for foreign transfers and currency sales operations. “Dollar Cash and provide protection to the banking and financial sector from the risks of money laundering operations.
In July 2023, the US Treasury imposed sanctions on 14 banks, and months before that, similar sanctions were imposed on 4 other Iraqi banks after they were accused of money laundering. The Iraqi government continues through the Central Bank Iraqi It has been negotiating for about two years with the US Treasury Department to lift sanctions on these banks, all of which are private banks.
STATUS OF THE RV, PART 3 . BY MNT GOAT, 20 NOV
I am told that the IMF will use the cap at about $9-$11 to prevent wild swings out of control that could potentially hurt the basket. I also want to bring out the very recent article on the Special Drawing Rights (SDR) and how important this article is, however, most readers did not even realize or catch on as to why they were explaining all of this to us.
So, let me bring it to your attention again. Let me bring out the main points of this article since we are talking about this basket today and connect this SDR news to the basket of currencies we are about to see for the new peg.
Here is the article again below:
_________________________
IRAQ INCREASES RESERVES AT IMF BY 50%
A meeting of the Iraqi Cabinet this evening approved an increase in Iraq’s quota at the International Monetary Fund (IMF) by 831.9 million Special Drawing Rights (SDR), equivalent to 1.45 trillion Iraqi dinars [$1.1 billion] based on the exchange rate as of October 8, 2024.
This 50-percet increase in Iraq’s previous quota will enhance the country’s voting power within the IMF. The additional allocation will be included in the 2025 budget.
The IMF created SDRs as an international reserve asset to supplement member countries’ official reserves; they are not a currency, but rather a claim on freely usable currencies of IMF member countries. They serve as a potential source of liquidity for IMF member nations.
SDRs represent a weighted basket of major international currencies, and can be held as part of a country’s foreign exchange reserves. Adding SDRs to a country’s international reserves makes it more resilient financially.
_________________________
So, do you see it yet? Yes, its WOW! WOW! WOW! news but you have to see it and understand and you do this by connecting the pieces to understand what they are telling us in the news. I am attempting to help you see it. When you do see it, your jaw drops and you say “WOWWWWWWWWWWWWWWWWWWWW!”. 😊
You see, many of these very stupid self-proclaimed gods of intel gurus, want to tell you that the RV is happening every day. But as readers to my Newsletter you know differently. Yes, you know the TRUTH and the truth is still all very positive and good but for the right reasons not fake news.
The REAL news is nothing negative about it. But let’s get off the everyday rollercoaster… okay? We just have to let it all play out and it is playing out.
Will we get the Project to Delete the Zeros in November or December timeframe? I am still hearing from my contact it is planned and they intend to begin the collection process before the end of 2024 in preparation for the next stage.
Did you connect the dots as to what they are slowly telling us in these recent articles one by one as time passes? This above article was from October 17, 2024 is yet another example. The article was in my Newsletter back then explains the government program to bring back Iraq to a “formal economy”. The article was titled “ILO: IRAQI GOVERNMENT HAS DEVELOPED PROGRAM TO HELP FACILITATE TRANSITION TO FORMAL ECONOMY”. Did you read it? If you did you can begin to see that when they do transition back to a “formal economy”, as in developed nations, they will need a viable currency. They will get off the sanctioned currency process of the larger three zeros notes. They are doing it now and the major final blow will be at the end of the year when they finally transition off the currency auctions for the dollar for good. The way to transition and complete the transition off the sanction-like economy fully is then to move on to the currency and economic reforms. Yes, they are now moving mostly pass the Pillars of Financial Reforms and onward to using the results of these reforms to rebuild their economy.
Iraq cannot rebuild the economy and attract investors unless they concentrate on these two measures now: the Economy rebuilding (attracting investors and shipping goods) and rebuilding their viable currency (currency reforms and reinstatement). In today’s news once again it’s all mostly about transitioning to these next two steps.
https://mntgoatnewsusa.com/latest-mnt-goat-newsletter/
-
Frank26 [Bank story] This time we didn't go down, we just called [the bank]... We said we want to see if we can exchange some cu...
-
Bank appointment for Currency EXCHANGE Instructions/Checklist Bank Name_________________________________________ Bank 800#____________...
-
Walkingstick All these meetings that the CBI had with all these agencies that were helping them with their monetary reform are done. Al...