(29
June – 5 July 2002)
There
were five loadings from the two authorized terminals of Mina al-Bakr and
Ceyhan under the United Nations oil-for-food programme in the week ending 5
July, totaling 6.3 million barrels of oil – down from the previous week’s
total of 8 million barrels. Of these, 3 loadings were from Mina al-Bakr, with
4.7 million barrels of oil and two loadings from Ceyhan, with 1.6 million
barrels. The week’s exports
netted an estimated €152 million (euros) or $150 million in revenue.
The average price of Iraqi crude oil was, approximately €24.20 or
$23.80 per barrel.
There
are now 123 oil purchase contracts in current phase XII of the programme,
including 4 new contracts approved by the United Nations oil overseers during
the week in review. The
quantity of oil approved for export under those contracts corresponds to 245.7
million barrels, of which 128.9 million barrels are for Basrah light and 116.8
million barrels for Kirkuk crude. So far in this phase, Iraq has exported 36
million barrels of oil for an estimated revenue of €851 million or
$847 million. Phase XII runs from 30 May to 25 November 2002.
The
continuing revenue shortfall has left 1074 humanitarian supply contracts,
worth about $2.2 billion, although approved by the United Nations, lacking in
funds. The affected sectors
are: food handling with $348
million; food with $347 million; electricity with $345 million; housing with
$303 million; agriculture with $298 million; health with $183 million;
telecommunication and transportation with $182 million; water and sanitation
with $122 million; and education with $112 million.
Since
the beginning of the programme on 10 December 1996, Iraqi oil exports of more
than 3 billion barrels have generated an estimated revenue of some $38.6
billion and €18.4 billion ($16.4 billion).
The humanitarian programme
receives 72 per cent of the oil proceeds, with 59 per cent allocated to the 15
central and southern governorates and 13 per cent to the three northern
governorates. To date, some $36 billion worth of contracts for the
purchase of various humanitarian supplies and equipment have been both
approved by the Security Council’s 661 sanctions committee and
“fast-tracked” by the Office of the Iraq Programme (OIP), including about
$3.2 billion worth of oil industry spare parts and equipment.
About $23 billion worth of supplies and equipment have been delivered
to Iraq, including $1.4 billion worth oil spare parts and equipment, while
another $10 billion worth of supplies and equipment, for which funds have been
available, are in the production and delivery pipeline, including $1.7 billion
worth of oil industry equipment.
During the week, the 661 Committee
released from hold 17 contracts worth $50 million, while placing on hold 12
new contracts worth $24.6 million.
Paragraph
18 of the new set of procedures for the processing and review of contracts for
humanitarian supplies and equipment under Security Council resolution 1409
(2002) requires that contracts currently on hold be divided into two
categories. The first category
would comprise contracts that contain “dual use” item(s), as determined by
the United Nations Secretariat experts, which will be returned to the
submitting Mission or United Nations agency for possible re-submission under
the new procedures. The second
category would include all other contracts currently on hold and will be
re-circulated by OIP under the new procedures.
It is foreseen that upon the completion of these processes, there will
no longer be contracts on hold.
