Oil Ministry Threatens to Ban Sinopec from Participating in the Second International Bid Round

摘要

According to Iraq's Deputy Oil Minister, Mr. Abdul Karim Louabi, the prequalification of Sinopec for the second international bid round (see page 10) could be brought into question. Mr. Louabi pointed out that the policy of the federal government was to not recognize the validity of contracts concluded between foreign companies and the Kurdistan Regional Government (KRG) and, as a result, to refuse to do business with companies which are in that situation. The Oil Ministry had written to Sinopec about its takeover of Addax Petroleum, said Mr. Louabi, adding that the Chinese company ran the risk of being denied authorization to participate in the next bid round. "The Ministry's reaction is clear: Sinopec will be blacklisted," he told Reuters.