[A-List] Pravda on Iraq

["bon moun" <sherrynstan@xxxxxxx>]

16:56 2002-08-19
SADDAM HUSSEIN'S TRUMP CARD
Washington will think twice before bombing Iraq. Soon, there will be many
Russian specialists in Iraq


The world media have been searching for fresh news on the Iraqi issue for
quite some time, but now they have cheered up again. The Washington Post
newspaper stirred everything up when it published a long article devoted to
the issue of an economic deal between Moscow and Baghdad.

As the newspaper wrote, Moscow and Baghdad are going to sign a long-term
agreement regarding economic cooperation. The deal is evaluated in the sum
of 40 billion dollars. The agreement is to cover a period of ten years. It
includes 67 contracts in the fields of oil and gas extraction,
transportation, and communication.

The Russian government has confirmed the information. Aleksey Volin, deputy
chief of the governmental administration, stated that the deal includes
bilateral cooperation in various fields. "Our logic is presumably based on
economic interests. Moscow has never concealed the fact that the UN's
economic sanctions cause damage not only to Iraq, but to Russia as well.
Baghdad's losses added up to some 400 billion dollars since the moment when
the sanctions were first instituted."

Iraq holds the second place in the world in terms of oil extraction. This
country is also a very large source of natural gas for the countries of the
region. Moscow has actually monopolized both the current oil extraction and
its reserves after the introduction of the sanctions.

By the end of 1997, Russian firms signed contracts for the development of
oil deposits in Iraq for a total of $3.5 billion. Currently, Russia is the
largest consumer of the Iraqi crude. Russian companies control the
concessions, which make up billions and billions of dollars.

These actions allow Russia to control almost one-third of the developed oil
deposits in Iraq. These oil reserves are evaluated to be around 650 billion
barrels. Russia also controls one half of the developed gas reserves in
Iraq: 1800 trillion cubic feet.

If these figures are added to Russia's reserves (about 50 billion barrels
of crude) and to the Caspian reserves, then Moscow is likely to dictate its
own conditions, not only to Europe and the Commonwealth of Independent
States, but even to Washington.

As you can see, there is something here to struggle for. However, it would
be foolish for Moscow and Baghdad to believe that Washington will give up
on Iraqi oil. Bush might think, not twice, but twenty times before striking
Iraq. However, this will only be a delay.

Russian petroleum companies are actively working in European and American
markets. They are not at all willing to have problems with Washington. The
newspaper Vremya Novostey wrote: "If Moscow has the nerve to sign this
plan, then Russia will be in the track of American politics all the same.
Russian petroleum companies claim that they cannot take oil out of Iraq.
They say that this is unprofitable due to the special price policy of
London and Washington. Russian diplomacy is unable to stand up against
them. Russian petroleum companies are more drawn to cooperation, not with
Iraq, but with Kuwait. LUKOIL does not actually believe that it will
develop the giant West Qurna deposit in Iraq. International sanctions by
the USA do not allow this, no matter what documents are signed.

The given agreement can be considered not from an economic, but from a
psychological point of view. This is enough to present economic claims to
Washington regarding this region of the world. Second, it is enough to give
food for thought to the Europeans who are rushing between Moscow and
Washington.

Baghdad guessed correctly regarding Russia. Iraqi Ambassador to Russia
Abbas Khalaf said: "First of all, we need moral, political, and diplomatic
support, because Iraq knows how to defend itself." Russia's penetration
into Iraq means that there will soon be thousands of Russian specialists on
the territory of the "axis of evil." This will present more problems for
the USA. It will be hard for Washington to bomb Russians in Iraq when
Russia is one of America's allies in the anti-terrorist coalition.

Dmitry Chirkin
PRAVDA.Ru

Translated by Dmitry Sudakov