Iraq close to signing $53 billion deal with Exxon, PetroChina; denies Iran link

BAGHDAD (Reuters) - Iraq is close to signing a $53 billion, 30-year energy agreement with Exxon Mobil and PetroChina, Prime Minister Adel Abdul Mahdi said on Tuesday, denying any link between the mega-project and U.S. permission for Iraq to do business with Iran.

Iraq expects to make $400 billion over the 30 years the deal will be in effect, the prime minister said.

The southern mega-project involves the development of the Nahr Bin Umar and Artawi oilfields and raising production from the two fields to 500,000 barrels per day (bpd) from around 125,000 bpd now, Abdul Mahdi said.

The project is crucial to supplying water to oilfields in the south in order to boost pressure and keep production steady.

Media reports had quoted Iran’s ambassador in London on Monday saying the United States would grant waivers to Iraq allowing it to deal with Iran economically, in exchange for Baghdad signing an oil deal with Washington.

“Talks now between the oil ministry and Exxon Mobil and PetroChina are focused on how to split profits if oil prices rise or decline,” Abdul Mahdi said in response to a Reuters question on the obstacles holding up a final agreement.

“The deal lasts for 30 years and such financial details are sensitive and should be given more discussions,” he added.

Iraq is the second largest oil exporter in OPEC and has long-term aims to boost output curtailed by decades of war and sanctions. Such projects are among the most valuable prizes in the world for international oil companies. An initial agreement would be a big boost for Exxon Mobil’s plans to expand in Iraq.

It is also one of the only countries in the world to have friendly relations with both the United States and Iran. Tehran and Washington, arch enemies elsewhere, are Baghdad’s main allies and vye for influence there.

Exxon Mobil and PetroChina will build a water injection project to feed oil wells in the south, as well as rehabilitate and build new export pipelines, Abdul Mahdi said.

The project also aims to process 100 million standard cubic feet of natural gas per day from the Artawi and Nahr Bin Umar fields.

https://www.reuters.com/article/us-iraq-oil-exxon-mobil-iran/iraq-close-to-signing-53-billion-deal-with-exxon-petrochina-denies-iran-link-idUSKCN1SD1J1

>>6438192

https://www.secform4.com/

>>6438341

>>6438387

>>6438444

chek't

Siemens to spin off struggling gas and power division

Siemens is spinning off its struggling gas and power division as part of a wider effort to realign the conglomerate so it can be more nimble, the German company said on Tuesday.

The move comes a day before Siemens presents a fresh batch of quarterly earnings that analysts expect to show continued troubles at the company's huge power division, which houses its gas turbine business and was once the centerpiece of the sprawling conglomerate.

The spin-off is part of the Vision 2020+ plan initiated by chief executive Joe Kaeser, who has long said he wants Siemens’ various divisions to operate like a “fleet of ships” rather than a lumbering oil tanker.

Siemens said the gas and power unit will be an 80,000 employee powerhouse with €30bn in revenue. The plan is to carve it out, give it complete independence, then go for a public listing in September 2020 in which Siemens would give up its majority stake but “remain a strong anchor shareholder”.

Mr Kaeser said the spin-off will create “a powerful pure play in the energy and electricity sector with a unique, integrated setup — an enterprise that encompasses the entire scope of the energy market like no other company”.

In recent years Mr Kaeser has orchestrated similar moves, but Siemens has retained a majority stake. Its renewables unit Siemens Gamesa is now listed in Madrid and its Healthineers division in Frankfurt. A plan to merge its rail division with Alstom and then list in Paris hit a roadblock in February when antitrust authorities in Brussels came out against the deal.

The gas and power unit will also take over Siemens’ 59 per cent majority stake in Siemens Gamesa, enabling the division to “fully meet customer demand” with a range of offerings.

Siemens said it was aiming to achieve €2.3bn in structural efficiency gains, adding that jobs should still grow by a net 10,000 as the business shifts towards “future-oriented fields”.

Chairman Jim Snabe called the move “necessary and courageous.”

Employee representatives on the board added their support but said management had a “special responsibility” to retain employees and provide additional training where needed.

“If the Managing Board is serious about the growth concept, we expect employee expertise to be retained at the company and developed or expanded with respect to digitalization,” labour representatives said in a press release. “We reject unimaginative job-cutting programs.”

The spinout is part of a broader plan for Siemens to sharpen its focus and cost effectiveness. The group will now target a profit margin between 14 per cent and 18 per cent over the long term, versus the 11.3 per cent achieved last year.

https://www.ft.com/content/cac1409a-70e2-11e9-bbfb-5c68069fbd15

>>6438663

and they do this re-org the day before the Q result's. Sneaky MF'ers. Think they thought thing's would be a bit different then.

kek

>>6438840

sure they are