Japan serious in oil investments in Thi-Qar, South Iraq, Japanese official says.

  THI-QAR / IraqiNews.com – Japan is serious to implement oil investments in southern Iraq’a Thi-Qar Province, the Japanese Foreign Ministry’s Undersecretary, Katsuhiko Takahashi, said on Thursday.   “We are serious to invest in the oil field in Thi-Qar Province and strengthen relations with the local administration there, especially in al-Gharraf Oil Field, (25 kms to the west of Nassirya, the center of the Province), the Japanese official, now on a visit to Thi-Qar, told IraqiNews.com news agency.   He said that during his visit to the Province, he had discussed horizons of cooperation with its Governor, “as we find the security situation in the province is good, in prelude to the preliminary stages of investment.”   Regarding the opening of a Japanese consulate in Thi-Qar, he said that the “issue depends on the joint interests and the number of Japanese technicians in the province, as well as the size of interest of taking such decision.”   On his part, Thi-Qar’s Governor, Taleb al-Hassan, expressed rejoice for the Japanese Official’s visit, reiterating “necessity for the Japanese presence in the province, in order to benefit from the Japanese experience, as well as the seriousness and activity of the Japanese companies.”   “We also demanded the Japanese side to accelerate the construction of a hospital in the Province, being part of the Japanese Loan for Iraq,” he said.   Noteworthy is that the Japanese Ambassador to Baghdad, Ogara, had visited Thi-Qar on 29/4/2010, where he told IraqiNews.com that discussions for the exploitation of the giant Nassiriya Oil Field would start anew, after the formation of the new Iraqi cabinet.   He stressed that the said step would take place through a Japanese company that would invest, within a coalition of the Malaysian Petronas and the Japanese Japkson companies, carrying out the development of al-Gharraf oil field, whose contract they scored within Iraq’s 2nd Licensing Session, beginning their activity on 26/3/2010.   Noteworthy is that Japan had promised to grant a financial assistance for Iraq, reaching US$5 billions (b), during the Madrid Conference in 2003, in the form of easy-payment credits, including US$3.5 billions (b) for the transportation, water, health, oil and electricity sectors, and US$1.5 billions (b) for urgent aids to carry out reconstruction works in different sectors.   Japan had also granted a 100 million dollar additional grant for Iraq in 2007, promising to decrease its total credits of US$7.6 billions (b) for Iraq, by 80%, within a new time schedule of three-phases, according to which US$6 billions (b) would be cancelled.   Noteworthy is that Iraq possesses huge oil reserves, exceeding 120 billion (b) barrels, i.e. 11 percent of the world’s total oil reserves, holding the 3rd international position, despite minor excavations and development since the 1970s of the last century, whilst U.S. studies had estimated Iraq’s total oil reserves at 350 billion (b) barrels.   Nassiriya, the center of Thi-Qar Province, is 380 kms to the south of the Iraqi capital of Baghdad.   FT / SKH 861