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Iraq fuel prices challenged

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Published: Oct. 16, 2003 at 9:45 AM

WASHINGTON, Oct. 16 (UPI) -- Two senior Democratic congressmen are questioning the prices Halliburton is charging the U.S. government for gasoline in Iraq, a report said Thursday.

In a letter sent to the White House Office of Management and Budget, Reps. Henry Waxman of California and John D. Dingell of Michigan, contended, "Halliburton seems to be inflating gasoline prices at a great cost to American taxpayers."

According to the two, Halliburton has charged the government $1.62 to $1.70 a gallon for gasoline that could be bought wholesale in the Persian Gulf region for about 71 cents and transported to Iraq for no more than 25 cents. The fuel was sold in Iraq for 4 cents to 15 cents a gallon, the letter said.

A spokeswoman for Halliburton, Wendy Hall, declined to address the specific calculations Dingell and Waxman used in their letter, saying the company's KBR unit, which is working in Iraq, "continues to negotiate fair and competitive prices to provide fuel to the Iraqi people."

Topics: Henry Waxman, John D. Dingell
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