Politics threatening Iraqi oil wealth?

BAGHDAD, Dec. 14 (UPI) -- A new government in Iraq emerging in the wake of March parliamentary elections could derail the rush of investments to tap the country's vast oil wealth.

International oil companies snatched up seven of the 10 fields on the auction block last week in what was hailed as a major accomplishment in post-war Iraq.

The contracts awarded during auctions Friday and Saturday were developed by Iraqi Prime Minister Nouri al-Maliki and top oil officials without parliamentary approval, however.

Lawmakers have sat on a national hydrocarbon law for more than three years. The law deals with how the central and provincial governments would control oil resources. Any new government that follows the March election could derail the law and the latest round of contracts, The Wall Street Journal reports.

Shell led the pack during the weekend, winning a deal for the Manjoon field that holds more than 10 billion barrels of oil. Russia's LUKoil and Norway's Statoil, meanwhile, won a major prize with the West Qurna field.

If the deals pass through the next government, however, it could bring Iraq closer to its ambitions of challenging Saudi Arabia in terms of oil production.

"It (was) a very successful bid round," said Iraqi Oil Minister Hussain al-Shahristani.