Big oil jumps into shaky Iraq, but balks at sour deals
On the day that Iraq's shaky government forces assumed control of the war that the U.S. government started six years ago, the first day of a heralded auction of Iraq's massive gas and "sweet oil" fields started leaking trouble. The first round of bidding for the giant Rumaila oil field in southern Iraq stalled when the companies balked at the government's offer of a fixed $2 a barrel — not a share of the profits.
Eight of the world's top 10 non-state oil companies jumped in to bid. But not one of them bid for a major gas field in still-violent Diyala province, west of Baghdad.
And adjacent to the country's northern fields, Mosul was in chaos. Judges and lawyers went on strike Monday, protesting abuses by police. Security forces are being attacked and killed every day. A dead policeman is worth $100 and a cell phone, Al Jazeera reports in video and print coverage much more sophisticated than that in any American press outlet. Security forces protect themselves by driving "at very high speed" and are armed with rocket launchers and machine guns.
"Iraqis danced in the streets and set off fireworks Monday in impromptu celebrations of a pivotal moment in their nation's troubled history," the Washington Post overstated in a story that didn't back that up. Yes, those who dared to venture outside were dancing.
The situation's so shaky that even many Iraqis are protesting the U.S.'s mostly symbolic pullout. Indoors and, in some areas, outdoors, citizens and government officials protested the pullout, pointing out that Iraq's own troops aren't capable of maintaining the semblance of order that now exists.
There are still 130,000 U.S. troops in the country, but they've backed off from their visible presence on the country's city streets. By tomorrow, the streets of Baghdad, Mosul, and other cities will be empty of the Americans' hulking vehicles and troops, Iraqi and U.S. officials said. But yesterday, those streets were already mostly deserted by Iraqis too fearful to step outside.
Dick Cheney, known for going where the oil is, no matter the danger to others, was not believed to have been present for the auction.


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