Dr Hussein al-Shahristani, Iraq’s oil minister, emerged from his meeting with the country’s parliament with his policies still on track.
The official had been summoned to parliament by disgruntled MPs who had accused him of costing Iraq US$10 billion in lost oil revenues.
Dr Shahristani’s controversial fixed fee oil contracts drew the most questions , but the oil minister defended himself, and the contracts vigorously, saying that output needed to be increased on the current wells before exploration and drilling could begin elsewhere.
“We have started to develop the oil-producing fields because it is faster and Iraq is in extreme need to increase its production,” Dr Hussein al Shahristani told the country’s parliament. “The undiscovered fields need time for drilling.”
The oil minister also insisted that the contracts were the most effective way of maximizing oil revenues for the benefit of the Iraqi people.
Iraqi politicians had threatened to block the contracts, but Iraq’s prime minister, Nouri al Maliki has confirmed that the winning bidders will be announced next week.
