The Executive Director of the Iraq Programme, Benon V. Sevan,
left Baghdad on 10 February, concluding his three-week working visit to Iraq.
Prior to his departure, Mr. Sevan met the Vice-President of the Republic of
Iraq, Taha Yasin Ramadan. At a press conference, immediately after that
meeting, Mr. Sevan expressed overall satisfaction with the outcome of his
visit. He told journalists that during his meetings with Iraqi Government
Ministers concerned, including the Ministers of Foreign Affairs, Oil, Trade,
Health, Interior, Higher Education, Agriculture and the Commissioner of
Electricity, as well as with representatives of the United Nations agencies
and programmes involved in the implementation of the oil-for-food programme,
he had reviewed a number of issues, some of which would require further
consultations with the Secretary-General and others, with the Security
Council. Mr. Sevan is scheduled to brief the Council on 26 February.
In the week ending 8 February, Iraq exported 11.5 million
barrels of oil under the programme, registering a drop of two million barrels
over the previous week’s total, netting an estimated €224 million (euros)
or $196 million in revenue, at current prices and rate of exchange. Of the
total seven liftings from the two authorized loading terminals of Mina al-Bakr
and Ceyhan, five were from the former, with 9.8 million barrels of oil, and
two from the latter, with 1.7 million barrels. The average price of Iraqi
crude oil during the week was approximately €19.50 or $16.90 per barrel.
During the week, the United Nations oil overseers approved
five new oil purchase contracts for six million barrels of Basrah Light and
4.5 million barrels Kirkuk crude, bringing the total number of approved such
contracts in current phase XI of the programme to 120, covering 291 million
barrels of oil, including 167 million barrels of Basrah Light and 124 million
barrels of Kirkuk crude. To date in phase XI, which ends on 29 May 2002, Iraqi
oil exports have totalled 103.5 million barrels, for an estimated revenue of
€1.8 billion or $1.6 billion.
An estimated $38.6 billion and €14.5
billion ($12.6 billion) in revenue has been generated from the export of some
2.9 billion barrels of oil since the start of the
programme on 10 December 1996. With the adoption of Security Council
resolution 1330 (2000) on 5 December 2000, 72 per cent of the oil proceeds
fund the humanitarian programme in Iraq, 59 per cent of which is for the 15
central and southern governorates and 13 per cent for the three northern
governorates.
Also during the same period, humanitarian supply contracts
worth some $31.8 billion have been both approved by the Security Council’s
661 sanctions committee and “fast-tracked” by the Office of the Iraq
Programme (OIP), including $2.9 billion worth of contracts for oil industry
spare parts and equipment. To date, $19.2 billion worth of humanitarian
supplies and equipment have been delivered to Iraq, including $1.1 billion
worth of oil industry equipment, while another $10.8 billion worth of
humanitarian supplies and $1.8 billion worth of oil industry equipment are in
the production and delivery pipeline.
With 22 contracts, worth $40.7 million, released from hold
by the 661 Committee during the week, and 52 new contracts, worth $79.3
million, placed on hold, the total value of “holds” stood at $5.27
billion, covering 2,075 contracts for the purchase of various humanitarian
supplies and equipment. The “holds” comprised 1,435 contracts, worth $4.58
billion, for humanitarian supplies and 640 contracts, worth $683 million, for
oil industry spare parts and equipment.
In the “inactive holds” category, there were 215
contracts, worth $307.4 million, for which the suppliers had not provided the
additional technical information in over 60 days, as requested by the
“holding” Committee member(s). At the same time, in the category of
“active holds”, there were 582 contracts, worth more about $1.82 billion,
for which although the suppliers had provided the requested information over
60 days ago, the “holding” Committee member(s) had not yet made a final
decision.
