CNN REPORTS: IRAQ SIGNS $3 BILLION OIL DEAL WITH CHINA

The United States has lost 4,133 troops in the Iraq War and another 34,000 wounded, and China has not lost a single soldier in the Iraq war yet China is the recipient of a $3 BILLION oil deal with Iraq.

Iraq signs $3 billion oil deal with Chinese national oil company

Deal is first major contract with foreign company since fall of Saddam Hussein
China National Petroleum Corporation to develop oil field in southern Wasit province
Oil field expected to produce 125,000 barrels a day within three years

http://www.cnn.com/2008/BUSINESS/08/30/iraq.china.oil.deal/index.html

BAGHDAD, Iraq (CNN) -- Iraq has signed its first major oil deal with a foreign company since the fall of Saddam Hussein's regime, a spokesman for the Iraqi Oil Ministry said Saturday.

Iraq's oil fields currently produce about 2.5 million barrels a day.

It was the first time in more than 35 years that Iraq has allowed foreign oil companies to do business inside its borders.

The contract with the China National Petroleum Corporation could be worth up to $3 billion. It would allow the CNPC to develop an oil field in southern Iraq's Wasit province for about 20 years, Oil Ministry spokesman Assim Jihad said.

Iraq's Cabinet must still approve the contract, but Jihad said that would happen soon and work could start within a few months.

The Chinese company will provide technical advisers, oil workers and equipment to develop al-Ahdab oil field, providing fuel for al-Zubaidiya power plant in Wasit, southeast of Baghdad, bordering Iran, Jihad said.

Once development begins, the field is expected to start producing a preliminary amount of 25,000 barrels of oil a day and an estimated constant daily amount of 125,000 barrels after three years, he said.

Iraq currently produces about 2.5 million barrels a day, 2 million of which are exported daily, Jihad said. That is close to its status before the U.S.-led war that toppled Saddam in 2003, but below its levels prior to the Persian Gulf War in 1991.

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