"MEES soundings indicate there is little prospect of Iraqi crude oil exports resuming before June with administrative and legal obstacles -- in Baghdad and at the UN in New York -- still needing to be cleared," the industry specialist says in its latest edition.

"On the face of it, Iraq's oil sector thus far in the war has escaped lightly, both in the south and the north," the Nicosia-based weekly notes.

"The first priority is to set up an oil sector administration in Baghdad. Until this happens there will be no logistical or legal framework for companies to lift Iraqi crude."

MEES points out that the current phase of the United Nations oil-for-food programme expires on June 3.

"This means that there is little chance of oil exports resuming before then".

When Iraq resumes full production, output is expected to average around 2.6 million barrels per day (bpd), with exports of about 2.2 million bpd, MEES soundings indicate.

Iraq has 112 billion barrels of proven reserves, the largest in the world after Saudi Arabia.

SPACE.WIRE