Iraq on Wednesday broke the record - 207 days - for the time between a parliamentary election and the formation of a government. But while Iraq's government is at a standstill, the country's energy sector remains dynamic and U.S. companies can't afford to wait for the political climate to thaw before diving in.
Iraq is slowly retaking the shape of one of the world's most prolific oil producers. Its reserves are actually 25% larger than previously thought.
"Iraq's oil reserves which are extractable are 143.1 billion barrels," Hussein al-Shahristani, Iraq's oil minister, said earlier this week, basing his comments on data provided by Organization of Petroleum Exporting Countries (OPEC).
Renewable Energy
China Continues Game-Changing Energy Moves with Sinopec's $7 Billion Brazil Buy
Chinese state oil company China Petroleum & Chemical Corp. (Sinopec) (NYSE ADR: SNP) said Friday that it would invest $7.1 billion in the Brazilian unit of Spain's Repsol YPF S.A. (NYSE ADR: REP) to form one of the largest private energy companies in Latin America.
The investment is the second-largest overseas purchase by a Chinese company and drives the market capitalization of Repsol's Brazilian arm up to $17.8 billion. Analysts estimated the company's value at $10.7 billion earlier this year. Sinopec's investment gives it a 40% stake in Repsol's Brazil business, and access to the highly valued Brazilian offshore sub-salt oil fields.
The move highlights South America's importance to China as the Asian powerhouse goes on a spending spree to meet its fast-growing energy demand.
The investment is the second-largest overseas purchase by a Chinese company and drives the market capitalization of Repsol's Brazilian arm up to $17.8 billion. Analysts estimated the company's value at $10.7 billion earlier this year. Sinopec's investment gives it a 40% stake in Repsol's Brazil business, and access to the highly valued Brazilian offshore sub-salt oil fields.
The move highlights South America's importance to China as the Asian powerhouse goes on a spending spree to meet its fast-growing energy demand.
China Ousts U.S. as Most Attractive Market for Renewable Energy Investing
China for the first time has overtaken the United States as the most attractive country for renewable energy investment, according to a quarterly index ranking released yesterday (Wednesday) by accounting firm Ernst & Young.
As the world's biggest energy consumer, China set a goal to generate 15% of its electricity from renewable sources by 2020 - up from 9% in 2008 - and has been encouraging investment in its clean energy companies to make its target.
"China has all the benefits of capital, government will, and it's a massive market," Ben Warren, Ernst & Young's environment and energy infrastructure leader, told Bloomberg. "We would expect to see China retaining a dominant position."
As the world's biggest energy consumer, China set a goal to generate 15% of its electricity from renewable sources by 2020 - up from 9% in 2008 - and has been encouraging investment in its clean energy companies to make its target.
"China has all the benefits of capital, government will, and it's a massive market," Ben Warren, Ernst & Young's environment and energy infrastructure leader, told Bloomberg. "We would expect to see China retaining a dominant position."