Iraq Halts Oil Exports from Main Pipeline

[Barrett808]

BAGHDAD (Reuters) - Authorities have halted oil export flows from the main pipeline in southern Iraq after intelligence showed a rebel militia could strike infrastructure, an oil official said Saturday.

The shutdown kept loadings at southern oil terminals at half their normal level, undermining the government's effort to raise revenue as oil prices hit record highs, partly in response to the instability in Iraq.

``The situation in Basra is bad. Management ordered the pipeline shut late yesterday,'' said the South Oil Company official, who declined to be named.

``Very few people showed up to work again today. The feeling is it is not wise to challenge Sadr's followers.''

He was referring to the uprising led by anti U.S.-cleric Moqtada al-Sadr, whose Mehdi Army militia is fighting U.S-led forces in central and southern Iraq.

The Mehdi Army has vowed to attack oil facilities in response to a U.S. offensive on Muslim Shi'ite city of Najaf.

(more)

http://www.nytimes.com/reuters/news/news-energy-iraq.html

[daleo]

1. One wonders if there could be other dimensions to this

Perhaps some kind of powerplay between the puppet government central authority and the controlling authority in the outlying regions. Maybe a message to the U.S., along the lines that "you can occupy us, but you can't actually control the oil without our cooperation".

Stopping oil only on the threat of damage to the pipelines and other infrastructure seems to be counter-intuitive. If the Mehdi Army can control Iraq's main resource through mere threats, then they seem to be the ones who are really in the driver's seat.

Of course this could all be a cover story, so as not to admit that the resistance has done serious damage to the infrastructure already, and this stoppage in supply is a result of that.

[Massacure]

3. Sure it is counter-intuitive, but how hard is it to repair a pipeline vs

repairing a burning pipeline?

[bemildred]

4. Probably.

Right now I think it is part of the al Sadr fuss, and it
means the "officials" don't want to risk their necks on the
outcome.

[daleo]

8. This is an excellent point.

These officials have to look to their own personal futures. If (when?) it all falls apart, and the helicopters start landing on the embassy roof, they won't be getting a seat.

[dbt]

6. "Cover story" is a good bet.

Things are way farther gone in Iraq than our Puppet Media are telling us. For example, the negotiations in Najaf. Since when does the US negotiate, unless its position is untenable?

Then, there were threats this week from several southern provincial governors to secede from Iraq. There were additional unfavorable developments as well; those two just leap to mind.

One thing is certain: the situation is worsening for the US and we are being kept in the dark about it.

:freak:
dbt

[daleo]

9. These are excellent points too

Usually when the U.S. had deigned to negotiate it meant that they were in a very bad spot, or were merely looking for a breather, and negotiations were insincere. This one could go either way, I suppose, although the signs are favorable for your conclusion.

[leftchick]

12. cover story is right... I saw huge plumes of smoke from the pipeline....

There was some video on NWI today reporting the shut down yet showing the pipeline on fire. It was huge! wtf? They really think we are stupid.

[puerco-bellies]

2. If this strike spreads to the Saudi's fields $100bbl crude oil,

and the collapse of the Stock Markets, with serious long term damage to the U.S. economy.

[Mari333]

5. but but didnt Bush say the oil exports from Iraq would pay for the war?

ah yes, the oil exports would pay for the war..I remember it well...

www.costofwar.com

ah well, another lie, another day for his bunch of criminal thugs and assholes.

[bemildred]

7. What a coinkydink:

They just opened the Northern pipe full bore:

Iraqi govt to resume Najaf assault,
northern Iraq oil exports resume

http://www.channelnewsasia.com/stories/afp_world/view/100944/1/.html

[daleo]

10. This is the one that goes to Turkey, I think

It never seems to last long between sabotage incidents. This announcement may be more for propaganda purposes than anything else. The BFEE must be getting desperate (or, more desperate than usual).

[bemildred]

11. Correct on all counts, Sir. nt