Financial Times FT.com

Political rifts slow Iraqi oil recovery

By Carola Hoyos, Roula Khalaf and Ed Crooks in London

Published: August 20 2008 17:47 | Last updated: August 20 2008 17:47

Political gridlock has overtaken security risks as the primary hurdle facing the rehabilitation of Iraq’s oil industry, according to oil executives and analysts.

Cabinet disagreements and unrealistic expectations from Baghdad are already threatening to scupper the oil ministry’s plans to sign short-term technical-support agreements with international oil companies.

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