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Rebuilding Iraq & Common Contingency Contract System >> Sectors >> Oil Infrastructure

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Oil Infrastructure

Oil is the most abundant natural resource in Iraq (second largest reserves in the world), and thus the mainstay of the Iraqi economy. The Iraqi oil infrastructure suffered from years of neglect, damage from the war, and extensively looting. As a result, it is extremely important that Iraq's infrastructure is quickly restored to sustainable levels of production. Oil infrastructure restoration is unique in that it is the only sector in which every dollar invested, either directly or indirectly, provides direct revenue to Iraq for future reconstruction.

The Coalition assisted the Ministry of Oil in making progress towards reestablishing pre-war production levels. However, more must be done to lay the foundation for the national economic recovery, and to ensure that Iraq has the revenue for a self-sustaining government. In addition to repair of damage resulting from the war and looting, the coalition must stop continued terrorist sabotage activity which is hampering progress. The Oil sector will focus on repairs of the infrastructure, counter the terrorist threat, and compensate for the losses from previous terrorist attacks. Once production has stabilized, funds will be used to continually improve the Iraqi petroleum production systems with the ultimate goal of restoring pre-war capacity levels of about 3 million barrels per day.

The sector liaison at PCO - Pentagon is tasked with assisting the PCO - Baghdad in all things required to successfully complete the mission, Sector Lead - Pentagon is Frank Wright. He can be reached at (703) 697-9442 or at frank.wright@hqda.army.mil

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