Weather | Traffic | Surf | Maps | Webcam


   
 
Forums Visitors Guide Shopping Classifieds Autos Homes Jobs Entertainment Sports Today's Paper Home

 News
 Metro | Latest News
 North County
 Temecula/Riverside
 Tijuana/Border
 California
 Nation
 Mexico
 World
 Obituaries
 Today's Paper
 AP Headlines
 Business
 Technology
 Biotech
 Markets
 In Depth
 Iraq / Afghanistan
 Pension Crisis
 Special Reports
 Video
 Multimedia
 Photo Galleries
 Topics
 Education
 Features
 Health | Fitness
 Military
 Politics
 Science
 Solutions
 Opinion
 Columnists
 Steve Breen
 Forums
 Weblogs
 Communities
 U-T South County
 U-T East County
 Solutions
 Calendar
 Just Fix It
 Services
 Weather
 Traffic
 Surf Report
 Archives
 E-mail Newsletters
 Wireless | RSS
 Noticias en Enlace
 Internet Access
 Sponsored Links
State denies it pushed for Texas-Iraq oil deal

ASSOCIATED PRESS

1:33 p.m. July 3, 2008

WASHINGTON – The State Department on Thursday denied charges by a House committee that it inappropriately encouraged a Texas-based oil company to strike an exploration deal with the Kurdish government in Iraq.

Hunt Oil Co.'s contract with the Kurds, reached last September, had angered Iraq's central government in Baghdad, which said any deals with foreign companies should not be signed until lawmakers agreed on how the nation's oil revenues would be divided. The issue remains unresolved and continues to be among the most contentious within the Iraqi Parliament.

State Department spokesman Sean McCormack told reporters that the department had advised all U.S. oil companies, including Hunt Oil Co., against making any deals in Iraq before the hydrocarbons law passed because it would aggravate political tensions.

If individuals had encouraged the deal, their actions would have been “contrary” to official administration policy, he said.

“We advised anybody who came to us that absent a hydrocarbons law they should defer signature of any contracts with any subregional institutions in Iraq,” he said. “That policy was conveyed.”

But according to an investigation by the House Oversight and Government Affairs Committee, led by Rep. Henry Waxman, D-Calif., there is no evidence that the administration tried to dissuade the company, which is headquartered in Dallas. Further, the committee's review of e-mail messages and other documents show that in some cases, State Department and other administration officials seemed to encourage the deal.

In one instance, a State Department regional coordinator wrote in an e-mail that he was glad to hear of Hunt Oil's efforts.

“Getting an American company to sign a deal with the (Kurds) will make big news back here,” he told a colleague. “Please keep us posted.”

Another State Department official stationed in Iraq notified Hunt Oil of a second business opportunity and offered to provide additional information if they wanted it.

The messages would have run counter to public statements made by State Department officials in Washington at the time. State Department spokesman Tom Casey told reporters in September that the administration saw the deal as unhelpful. In October, the department's chief liaison to Congress, Jeffrey Bergner, told lawmakers that the administration warned Hunt Oil that such contracts would “needlessly elevate tensions” between the Kurds and Iraq's central government.

According to notes taken by Hunt Oil officials at a June 2007 meeting with U.S. officials in Iraq, the company was told specifically that the U.S. had no policy on the contracts.

  

Associated Press writer Matthew Lee contributed to this story.


 Sponsored Links







Quicklinks
Restaurants Bars
Hotels Autos
Shopping Health
Eldercare Singles
Business Listings
Free Newsletters


Guides
Vegas Spas/Salon
Travel Weddings
Wine Old Town
Baja Catering
Casino Home Imp.
Golf SD North
Gaslamp


© Copyright 1995-2008 Union-Tribune Publishing Co. • A Copley Newspaper Site