The Oil Drum: New Iraqi oil law – some facts on PSAs

The lefty blogosphere is all a-flutter after the article in the Independent about the new Iraqi oil law (flagged in this morning’s Salon), which will allow foreign companies to invest in the oil sector via PSAs (production sharing agreements).

These are presented as unfair contracts, which will give the majority of the profits to the Western oil majors, and highly unusual. This is all untrue, and it obfuscates the wider truth that no major Western company will invest in Iraq (under these contracts or under any other scheme) as long as American troops are there and that a civil war is under way.

Much more after the jump to The Oil Drum.