Paris, November 18: Iraqi President Jalal Talabani on Wednesday promised major deals — including large oil contracts — to French business chiefs keen to restore their place as Iraq’s top business partners.
To warm applause, the Iraqi leader gave Baghdad’s strongest hint yet that it would grant French energy giant Total development contracts for two of its major oil fields at a rights auction next month.
“Iraq is a very promising basket for investors,” Talabani told a meeting with France’s influential MEDEF employers’ association.
The 75-year-old leader said he would look favourably on the bids of the French energy giant Total in an upcoming second round auction for exploration rights in Iraq.
“We might favour a French bid whatever the figures. Don’t fear this auction … The figures aren’t everything. We want to see Total work in our oil fields,” Talabani said.
Separately, Defence Minister Abdel Qader Obeidi said Iraq “attaches a lot of importance to French arms,” hinting at further deals to follow the already announced purchase of 24 transport helicopters.
Talabani has been treated to full honours during a three-day state visit to France that began Monday with a formal dinner with President Nicolas Sarkozy.
“As President Sarkozy said, ‘This cooperation is a strategic choice for France and for Iraq’,” Talabani said.
Sarkozy paid a brief visit to Baghdad in February, trying to revitalise relations with Iraq’s new rulers which were damaged when Paris led international opposition to the US-led invasion in 2003.
Since Sarkozy took power in 2007 there have been several exchanges of visits between the two capitals as France attempts to return to its Saddam-era status as Iraq’s main business partner.
Laurence Parisot, MEDEF’s president, told Talabani: “We know that your country wants to diversify its partnerships as much as possible, and we want to take part.”
Addressing the Iraqi leader and some 200 business leaders from both countries, she promised MEDEF would lobby for Iraq to join the World Trade Organisation and for an Iraqi partnership deal with the European Union.
Total’s director general for exploration and production, Yves-Louis Darricarrere, confirmed his firm was putting together bids for the Majnoon and West Qurna (Phase 2) oil fields, two of 10 up for grabs in December’s auction.
These fields are two of the most promising in Iraq and by 2016 Iraqi officials hope to see both pumping more than 1.2 million barrels per day.
Iraq has estimated oil reserves of 115 billion barrels, behind only Iran and Saudi Arabia in terms of conventional crude, but there has been little development in the past three decades because of US-backed wars and sanctions.
The warm overtures to France are in stark contrast to Iraqi attitudes in the immediate aftermath of the 2003 invasion, when many — including Talabani himself — were critical of French opposition to the invasion of Iraq.
Before the war Talabani himself warned that France’s perceived support for Baghdad would cost it lucrative contracts under the incoming regime.
Nevertheless, some French firms have already found their way back such as cement giant Lafarge which employs 2,000 people at plants in Iraqi Kurdistan.
French companies are seeking a bigger stake in Iraq.
Accompanied by his wife Hero Ibrahim Ahmad, Talabani — who is due to retire next year — laid a wreath on the Tomb of the Unknown Soldier at the Arc de Triomphe on Tuesday.
The US-led invasion of Iraq in 2003 is viewed by critics as an ‘act of aggression’ that violated international law.
Subsequent US occupation policies caused the country to descend into almost total chaos, bordering on civil war.
An estimated 1.3 million Iraqis have been killed in Iraq as a direct result of the invasion, while millions more have fled the country.
Critics argue that the recent stability announced in the country should not excuse the ‘crime’ of invading Iraq, calling for the prosecution of the war’s architects for ‘crimes against humanity’.
—Agencies