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Wednesday, July 20, 2005

The Axis of Oil

The new Iraqi Prime Minister establishes an economic bond with Iran...
Iran and Iraq on Tuesday signed an oil deal they hope will pave the way to further diplomatic rapprochement between them. The signing was the keystone of a visit to Iran by an Iraqi ministerial delegation led by Prime Minister Ibrahim al-Jaafari, the first Iraqi leader to visit Tehran in decades.

[snip]

Iraq signed a preliminary agreement to export 150,000 barrels per day of crude from the southern city of Basra to Abadan refinery in southwest Iran, a spokeswoman for Iran's oil ministry said. In return, fuel-starved Iraq will import gasoline, gas oil and kerosene across its eastern border.

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