Iraq: CLDP Develops Models of Complex Investment Contracts for U.S. Goods

April 30, 2018 - May 4, 2018

During the first week of May 2018, CLDP brought a delegation from Iraq's Ministry of Oil (MoO) to Houston for the Offshore Technology Conference (OTC). The purpose was to facilitate and support the creation of Public Private Partnership (PPPs) between MoO and the U.S. private sector for the development of Iraq’s oil industry.

Iraq's oil sector, second only to Saudi Arabia’s, is entirely controlled by MoO. MoO’s effort to acquire systems and equipment from U.S. firms has been impeded by its national budget deficit due largely to the war against ISIS. As a result, U.S. firms are increasingly proposing to MoO PPP mechanisms, under which the U.S. firms provide the equipment needed by MoO, foregoing any upfront payment in lieu of annual revenues based on a long-term contract. Because of the complexity of such transactions, CLDP is developing financial models to help with contract negotiations. As an example, the Iraqi delegation met with Orion, an SME from Texas, currently proposing to build and run at its own expense a gas processing facility that will turn gas, currently flared, into gas suitable to power gas turbine power plants and into valuable natural gas liquids (NGL) such as propane or butane. In compensation for doing so, Orion would receive a share (less than 50%) of the value of the NGL. In addition, CLDP organized a meeting between the MoO delegation and a U.S. firm that could build oil tanker vessels that MoO would need to export oil. Again, a PPP approach is being envisioned, and CLDP may be asked to develop a financial model for the complex contract that would underpin such an acquisition.

Upcoming Programs

August 1, 2020 - April 30, 2021

Throughout the quarter, CLDP engaged with numerous experts to prepare and record eight separate sessions on trade topics, specifically designed for Afghanistan’s approximately 25 Commercial Attachés posted throughout the world. In May 2018, CLDP spent one week training the same group of Attachés in a comprehensive course designed for them prior to their departure. This updated training course is intended to provide more advanced training on relevant topics now that the Attachés have been serving in their posts for more than two years.  The topics for these presentations were identified based on consultations with the Attachés and relevant stakeholders in the last quarter. Topics include drafting international contracts, attracting foreign direct investment, negotiation strategies, and two sessions on working trade shows. The series of pre-recorded virtual presentations, including translated copies of the presentations, will be delivered on a rolling basis to the Attachés. In addition, future topics will be recorded and shared with the participants. These virtual recordings will be saved in an online repository, which will be available for any interested party to view, including the private sector. 

March 15, 2021 - May 24, 2021

CLDP in close collaboration with the US Patent and Trademark Office (USPTO) trained Bahrain Innovation and Technology Center (BITC) staff regarding filing patents in the GCC (Gulf Cooperation Council).  This program was part of a CLDP/USPTO collaboration to conduct over 40 hours of intellectual property training for the BITC.  The program included training on how to obtain patents and copyrights in the US as well as other jurisdictions.  

CLDP in Action

February 24, 2021 - February 25, 2021

On February 24-25, CLDP conducted a workshop on FIDIC contracts for a delegation of Sri Lankan officials from the Attorney General’s office.

Read More about Sri Lanka: FIDIC Contracts Workshop