Iraq opens 6 oil fields to international bidding

The potential participation of big Western companies like BP, Chevron, Exxon Mobil, Shell and Total SA in Iraq's oil industry has been criticized in recent weeks following published reports that several were close to signing no-bid contracts with the Iraqi government.

There was an immediate outcry over perceptions that the U.S. did invade Iraq to gain access to its massive oil reserves and there was no announcement of contracts Monday by Oil Minister Hussain al-Shahristani.

He did, however, name 35 companies that would be qualified to bid on service contracts for the oil fields of Rumeila, Zubair, Qurna West, Maysan, Kirkuk and Bay Hassan.

"These fields were chosen because their production can be raised in a short time and at a low cost," said al-Shahristani.

All of the fields are currently producing oil, and al-Shahristani said the new contracts would raise Iraq's production by 1.5 million barrels per day. Iraq currently produces 2.5 million barrels per day and hopes to raise that to 4.5 million by 2013.

The Bush administration indicated last week that it had no plans to interfere with negotiations between Iraq and Western oil giants and on Monday, the State Department said Iraq was acting alone.

"There is no U.S. government involvement in any decision in any way being taken in any form by the Iraqi oil ministry or any other ministry on these fundamental issues," said spokesman Tom Casey. "These are decisions that a sovereign Iraqi government and sovereign Iraqi officials are making on their own."

Casey likened the role of the U.S. "technical support people" to that of a lawyer whose client wants to draft a will. The client makes the decisions about who gets what and the lawyer provides advice and expertise, Casey said.

Major oil companies also distanced themselves from talk of no-bid deals that provide access to Iraqi oil.