Political Interference in Wasit Oil Company Formation
The local government of Wasit has raised serious concerns regarding political interference in the establishment of the provincial oil company. On Tuesday, officials alleged that a political entity within the Ministry of Oil is actively obstructing the project, specifically pointing to the director of the Naflafa Middle Company for placing both legal and unjustified hurdles to thwart the initiative.
Approval and Progress Delays
In a statement, the local government indicated that over a decade ago, Wasit Governorate received approval from the Council of Ministers for the formation of the Wasit Oil Company. Despite continuous governmental and local advocacy over the past ten years to expedite the process, significant delays and indecision have hindered progress.
Recent developments, however, have brought renewed hope. The Prime Minister has given explicit approval this year to proceed with the company’s establishment. Local representatives have been actively involved over the past six months to ensure that all necessary procedures are executed following the endorsements from the Minister of Oil and the Undersecretary.
Political Challenges and Strategic Rights
In a public statement, Wasit officials announced that a political party within the Ministry of Oil has been obstructing the passage of this crucial project, which they argue is a rightful entitlement for the province and its residents. They emphasized that certain actions by the director of the central oil company are designed to create obstacles and introduce unwarranted legal changes, directly impeding the establishment of the Wasit Oil Company.
The local government reiterated that Wasit retains its legitimate right to establish a company dedicated to managing its oil resources, distancing itself from exclusionary practices that have historically marginalized the province. It affirmed that the newly envisioned company constitutes a legal right comparable to existing companies in other governorates.
Economic Potential of Wasit’s Oil Fields
The local government expressed concerns over the limitations placed on Wasit, which threaten to stifle its potential for expanding oil production. With new fields ready for investment, production capabilities could reach as high as 200,000 barrels per day. However, systemic mismanagement and corruption within the central oil company have been cited as significant barriers to leveraging these resources and facilitating the involvement of local engineers in operational management.
Call for Ministerial Attention
In conclusion, Wasit officials have brought this matter to the attention of the Prime Minister and the Minister of Oil, expressing frustration over the impasse with the central oil company. They emphasized the need for action to address the grievances of the residents of Wasit, who seek a resolution to secure their rightful access to the province’s oil resources.
