August 29, 2007 UNCLASSIFIED D E P A R T M E N T O F S T A T E Iraq Weekly Status Report August 29, 2007 Bureau of Near Eastern Affairs US Department of State 1 UNCLASSIFIED August 29, 2007 UNCLASSIFIED Table of Contents D E P A R T M E N T This report provides weekly updates in the eight key areas identified as pillars of U.S. government policy for victory in Iraq. SECTION SLIDE Highlights 3 1. Defeat the Terrorists and Neutralize the Insurgents 5 2. Transition Iraq to Security Self-Reliance 6 3. Help Iraqis to Forge a National Compact for Democratic 9 Government 4. Help Iraq Build Government Capacity and Provide Essential 11 Services O F S T A T E 5. Help Iraq Strengthen Its Economy 15 6. Help Iraq Strengthen the Rule of Law and Promote Civil Rights 23 7. Increase International Support for Iraq 24 8. Strengthen Public Understanding of Coalition Efforts and 26 Public Isolation of the Insurgents Sources and Contact Information Notes and Source Citations 27 28 2 UNCLASSIFIED August 29, 2007 UNCLASSIFIED Highlights D E P A R T M E N T O F S T A T E 1. Defeat the Terrorists and Neutralize the Insurgents Multi-National Forces-Iraq Deputy Press Secretary, Rear Admiral Mark Fox, reported August 26 that operations have diminished al-Qaida in Iraq’s areas of influence. Additionally, Iraqi and Coalition forces continue to break down extremist militia groups - known as special groups - that are affiliated with Iran’s Quds Force. 2. Transition Iraq to Security Self-Reliance Joint operations between the Coalition and Iraqi Security Forces are now double compared to that of this time last year, while the total number of attacks against civilians and security forces are at their lowest level since August 2006. 3. Help Iraqis to Forge a National Compact for Democratic Government Iraq’s senior Shia, Sunni Arab and Kurdish political leaders have reached consensus on measures vital to fostering national reconciliation, including draft legislation on de-Ba’thification reform, provincial powers laws, as well as setting up a mechanism to release some Sunni detainees being held without charges. These laws will need to be passed by the Council of Representatives. 4. Help Iraq Build Government Capacity and Provide Essential Services Basrah has received $30 million from the U.S. Congress to upgrade its public utilities. Tuama al-Nouri, head of the Basrah Reconstruction and Development Council, has said the grant will be wholly dedicated to service projects. Also, the Iraqi government will begin to execute exports of oil to Jordan as part of a longstanding agreement between the two governments. 3 UNCLASSIFIED August 29, 2007 UNCLASSIFIED Highlights D E P A R T M E N T O F S T A T E 5. Help Iraq Strengthen Its Economy In cooperation with the U.S. Government Task Force for Business Stability Operations (BSO) in Iraq, the Iraqi government will host an Iraq Business and Investment Conference in Dubai August 28-30. The goal of the conference is to stimulate trade and investment in the south of the country. 6. Help Iraq Strengthen the Rule of Law Saddam Hussein’s cousin, widely known as “Chemical Ali,” as well as 14 others faced charges of crimes against humanity August 21 for the crushing of a Shiite uprising after the 1991 Gulf War, as Iraq's third trial against former regime officials began with three of the defendants already sentenced to death in another case. The Iraqi High Tribunal said the defendants are charged with engaging in widespread or systematic attacks against the civilian population. 7. International Support for Iraq On August 28, British Prime Minister Gordon Brown rejected a call to pull his country’s troops out of Iraq, saying they still had an important job to do battling militias and providing security. In an open letter to opposition party leader Sir Menzies Campbell, Brown argued that it was wrong to say the continued presence of British troops would achieve little, or to say that they were severely restricted in what they can do. 8. Strengthen Public Understanding of Coalition Efforts and Public Isolation of the Insurgents On August 27, Baghdad newspapers highlighted Iraqi Prime Minister Nuri al-Maliki’s recent statements in which he called for a strategic agreement between the five main political blocs. During a press conference held in Baghdad after the inauguration of the cabinet’s press center August 26, the government-funded al-Sabah newspaper quoted Maliki as highlighting partnership as a key decision-making mechanism for the Iraqi political process. 4 UNCLASSIFIED August 29, 2007 UNCLASSIFIED [1.] Defeat the Terrorists and Neutralize the Insurgency Coalition and Iraqi Security Forces Diminish al-Qaida and Special Groups: D E P A R T M E N T O F S T A T E • Deputy Multi-National Forces-Iraq Spokesman, Rear Admiral Mark Fox, reported August 26 that operations have diminished al-Qaida in Iraq’s areas of influence. Additionally, Iraqi and Coalition forces also continue to break down extremist militia groups - known as Special Groups - that are affiliated with Iran’s Quds Force. • Iraqi and Coalition forces captured two suspected special group members in Diwaniyah August 22. The two had conducted Improvised Explosive Device (IED) and Katyusha rocket attacks against Iraqi and Coalition forces. • Coalition forces repulsed a militia attack, killing 18, in northwest Baghdad near Kadhimiya August 23. • The Iraqi Army (IA) detained a special groups leader from Baghdad who had conducted a network organized to conduct IED attacks August 24. This network was also involved in sectarian murders of innocent Iraqis. • Also on August 24, a separate IA unit captured a special groups member in Taji who had had a history of planting IEDs against Iraqi and Coalition forces. 5 UNCLASSIFIED August 29, 2007 UNCLASSIFIED [2.] Transition to Security Self-Reliance – Iraqi Security Forces Iraqi Security Forces Conducting Major Combat Operations: D E P A R T M E N T O F S T A T E • Multi-National Forces-Iraq Deputy Spokesman, Rear Admiral Mark Fox, said August 26 that joint operations between Coalition and Iraqi Security Forces are now double compared to that of this time last year, while the total number of attacks against civilians and security forces are at their lowest level since August 2006. Iraqi Security Forces Place Emphasis on Mission Support Training: • The Iraqi police in Anbar inaugurated the Police Intelligence Fusion Center in Ramadi. The center functions as the heart of a computer infrastructure that will eventually link every police district in Anbar, as well as host a provincial data base on criminal and terrorist activity. The consolidation of provincial criminal information represents a major advance for police analytical capabilities in Anbar and will add momentum to Anbar’s dramatic improvement in security conditions. • Iraqi Army (IA) students are now being trained in an eight-week formal vehicle maintenance and servicing course in Kirkush. With more than 105 models of vehicles in service, it is important for the IA to be able to maintain and repair the vehicles they operate. The ability to provide routine maintenance and vehicle repair helps keep the IA adequately supplied in their fight against terrorism. 6 UNCLASSIFIED August 29, 2007 UNCLASSIFIED [2.] Transition to Security Self-Reliance – Iraqi Security Forces D E P A R T M E N T Iraqi Air Force Patrols Oil Pipelines and Electrical Lines: • The Iraqi Air Force is using their growing aircraft fleet to take part in the protection of oil and electric lines by placing surveillance forces in the air. There are currently 35 helicopters assigned to the Iraqi Air Force, which is double what the military had the year before, and there are plans to triple it next year, according to U.S. Army Lt. Gen. James M. Dubik, Multi-National Security Transition Command-Iraq (MNSTC-I) commanding general. • Already in 2007, the Taji unit has flown more than 100 missions outside the wire, exposing them to not only appreciative citizens on the ground, but also enemy contact. O F S T A T E 7 UNCLASSIFIED August 29, 2007 UNCLASSIFIED [2.] Transition Iraq to Security Self-Reliance – Iraqi Security Forces D E P A R T M E N T O F S T A T E Ministry of Interior Forces COMPONENT TRAINED & EQUIPPED POLICE ~135,000 NATIONAL POLICE ~ 26,300 OTHER MOI FORCES ~32,900 TOTAL ~194,200* Ministry of Defense Forces COMPONENT OPERATIONAL ARMY ~163,500*** AIR FORCE ~900 NAVY ~1,100 TOTAL ~165,500** Total Trained & Equipped ISF: ~359,700**** * Ministry of Interior Forces: Unauthorized absence personnel are included in these numbers ** Ministry of Defense Forces: Unauthorized absence personnel are not included in these numbers *** Army numbers include Special Operations Forces and Support Forces **** Does not include the approximately 144,000 Facilities Protection Service personnel working in 27 ministries 8 UNCLASSIFIED August 29, 2007 UNCLASSIFIED [3.] Help Iraqis to Forge a National Compact for Democratic Government D E P A R T M E N T O F S T A T E Iraqi Leaders Sign Unity Accord: • Iraq’s senior Shia, Sunni Arab and Kurdish political leaders have reached consensus on measures vital to fostering national reconciliation, including draft legislation on deBa’thification reform, provincial powers laws, as well as setting up a mechanism to release some Sunni detainees being held without charges. However, these laws need to be passed by the Council of Representatives. Sunnis Demand Reforms Before Returning to Government: • Despite the signing of the Unity Accord, Iraqi Vice President Tariq al-Hashimi said that the Sunni party has no immediate intention to return to the government in Baghdad unless its demands for reform are met. The Sunni National Accord Front, led by Hashimi’s Iraqi Islamic Party, quit Prime Minister Maliki’s unity government August 1, leaving him with only 23 ministers in the 40-member cabinet. Sadr Calls for Halt Mahdi Army Activities: • Shiite cleric Muqtada al-Sadr has ordered a six-month suspension of activities by his Mahdi Army militia in order to reorganize the force. A Sadr aid also stated that it will no longer attack U.S. and Coalition troops. 9 UNCLASSIFIED August 29, 2007 UNCLASSIFIED [3.] Help Iraqis to Forge a National Compact for Democratic Government - Iraqi National Unity Government President D E P A R T Minister of M Agriculture * E of N Minister Education T Khudayyir al-Khuza’i O F S T A T E Deputy President Jalal Talabani Deputy President (F) = Female Tariq al-Hashimi ‘Adil ‘Abd al-Mahdi * Vacant Prime Minister Deputy Prime Minister Nuri al-Maliki Deputy Prime Minister Barham Salih Salam al-Zawba’i Minister of Communications Minister of Culture Minister of Defense Minister of Displacement & Migration Minister of Electricity Muhammad Tawfiq Allawi * Abdul Qadir Muhammed Jasim Abd al-Samad Rahman Sultan Karim Wahid Minister of Environment Minister of Finance Minister of Foreign * Affairs Minister of Health Minister of Higher Education Narmin ‘Uthman (F) Bayan Jabr Hoshyar Zebari * Abd Dhiyab al-Ajili Minister of Human Rights Minister of Industry & Minerals Minister of Interior Minister of Justice Minister of Housing & Construction Minister of Labor & Social Affairs Wijdan Mikha’il (F) Fawzi al-Hariri Jawad al-Bulani Safa al Safi (acting) Bayan Daza’I (F) Mahmud Muhammad Jawad al-Radi Minister of Oil Minister of Planning Minister of Trade Minister of Science & Technology Minister of Municipalities & Public Works Minister of Transportation Husayn alShahristani Ali Baban Abd al-Falah alSudani Ra’id Fahmi Jahid Riyad Ghurayyib * Minister of Water Resources Minister of Youth & Sports ‘Abd al-Latif Rashid Jasim Muhammad Ja’far Minister of State for Foreign Affairs Minister of State for Governorates Affairs Rafi Hiyad al-Isawi * Minister of State for Civil Society Wijdan Mikha’il (acting) Minister of State for Tourism and Antiquities * 10 Minister of State for National Dialogue Affairs Minister of State for National Security Affairs Akram al-Hakim Shirwan al-Waili Minister of State for Women’s Affairs Fatin Abd al-Rahman Mahmud (F) Minister of State for CoR Affairs Safa al-Safi UNCLASSIFIED August 29, 2007 UNCLASSIFIED [4.] Help Iraq Build Government Capacity and Provide Essential Services – Financials from Iraq Relief and Reconstruction Fund (IRRF) 1 and IRRF 2 Committed Apportioned D E P A R T M E N T O F S T A T E Obligated Disbursed Sector Apportion Last Week Current Change Last Week Current Change Last Week Current Change Security and Law Enforcement $5,004.79 $4,967.72 $4,967.72 $0.00 $4,966.76 $4,966.76 $0.00 $4,811.80 $4,811.80 $0.00 Electricity Sector $4,216.87 $4,140.99 $4,140.99 $0.00 $4,020.62 $4,020.62 $0.00 $3,444.61 $3,444.61 $0.00 Oil Infrastructure $1,724.70 $1,610.07 $1,610.07 $0.00 $1,559.89 $1,559.89 $0.00 $1,473.11 $1,473.11 $0.00 Justice, Public Safety and Civil Society $1,304.15 $1,265.71 $1,265.71 $0.00 $1,258.81 $1,258.81 $0.00 $1,102.55 $1,102.55 $0.00 Democracy $998.35 $997.34 $997.34 $0.00 $997.34 $997.34 $0.00 $967.19 $967.19 $0.00 Education, Refugees, Human Rights, Governance $409.84 $399.76 $399.76 $0.00 $399.76 $399.76 $0.00 $371.19 $371.19 $0.00 Roads, Bridges and Construction $333.60 $322.08 $322.08 $0.00 $320.82 $320.82 $0.00 $232.18 $232.18 $0.00 Health Care $815.55 $770.68 $770.68 $0.00 $761.54 $761.54 $0.00 $683.85 $683.85 $0.00 Transportation and Communications $456.72 $452.65 $452.65 $0.00 $446.98 $446.98 $0.00 $358.85 $358.85 $0.00 $2,115.79 $1,990.84 $1,990.84 $0.00 $1,942.99 $1,942.99 $0.00 $1,666.58 $1,666.58 $0.00 Private Sector Development $811.91 $807.85 $807.85 $0.00 $807.85 $807.85 $0.00 $794.22 $794.22 $0.00 Admin Expense (USAID, STATE) $211.05 $209.95 $209.95 $0.00 $209.95 $209.95 $0.00 $188.08 $188.08 $0.00 $18,403.32 $17,935.64 $17,935.64 $0.00 $17,693.32 $17,693.32 $0.00 $16,094.21 $16,094.21 $0.00 IRRF II Construction - $10,250.83 $10,250.83 $0.00 $10,015.96 $10,015.96 $0.00 $8,848.57 $8,848.57 $0.00 IRRF II Non-Construction - $6,687.46 $6,687.46 $0.00 $6,680.01 $6,680.01 $0.00 $6,278.45 $6,278.45 $0.00 IRRF II Democracy - $997.34 $997.34 $0.00 $997.34 $997.34 $0.00 $967.19 $967.19 $0.00 IRRF I Total $2,473.30 $2,473.30 $2,473.30 $0.00 $2,232.3 $2,232.3 $0.00 $2,139.00 $2,139.0 $0.00 Grand Total IRRF I & II $20,876.62 $20,408.94 $20,408.94 $0.00 $19,925.62 $19,925.62 $0.00 $18,233.21 $18,233.21 $0.00 Water Resources and Sanitation Total 11 UNCLASSIFIED August 29, 2007 UNCLASSIFIED [4.] Help Iraq Build Government Capacity and Provide Essential Services – Electricity Overview D E P A R T M E N T Daily Electricity Supplied and Estimated Demand in Iraq Since January 2004 Daily Supply 7-Day Average Supply Estimated Demand 250,000 200,000 150,000 100,000 50,000 0 6/14/07 3/16/07 12/16/06 9/17/06 6/19/06 3/21/06 Date 12/21/05 9/22/05 6/24/05 3/26/05 12/26/04 9/27/04 6/29/04 3/31/04 1/1/04 O F S T • Daily electricity demand August 22-28 was 22% above the same period in 2006. Daily supply from A the electricity grid was 5% above 2006; it met 50% of total electricity demand, compared with 58% T for the year-earlier period. E • Average hours of power via electricity grid after meeting demand from essential services: Baghdad 6.4 and nationwide 10.9. Year-ago levels were Baghdad 5.7 and nationwide 10.9. 12 UNCLASSIFIED August 29, 2007 UNCLASSIFIED [4.] Help Iraq Build Government Capacity and Provide Essential Services – Provision of Essential Services D E P A R T M E N T O F S T A T E Public Utilities: • Basrah has received $30 million from the U.S. Congress to upgrade its public utilities. Tuama al-Nouri, head of the Basra Reconstruction and Development Council, has said the grant will be wholly dedicated to service projects. • Additionally, the Danish Foreign Ministry has agreed to finance the reconstruction of a 44-km highway linking Umm Qasr port with Basrah. Electricity • The ED M843 Electrical Network project in Baghdad has been completed. The project improves electrical service to the residents of Karkh where the population is 130,000. Water: • The M861 Sewer, Water, and Road Net project is completed. The project will provide more than 65,000 people with storm and runoff water and sewer services. 13 UNCLASSIFIED August 29, 2007 UNCLASSIFIED [4.] Help Iraq Build Government Capacity and Provide Essential Services – Government Capacity Oil Exports: D E P A R T M E N T O F S T A T E • Jordan has said it was due to take delivery within days of much delayed supplies of Iraq crude oil at preferential rates under an agreement with Baghdad. The first delivery of crude will be considered a trial phase to deal with security conditions, with supplies starting at around 10,000 barrels daily and gradually increasing to reach 30,000 barrels. Contracting Issues: • Deputy Oil Minister Ahmad al-Shamma said that the Ministry of Finance is putting major oil projects at risk with confusing new unwritten procedures for Letters of Credit (LC). Ministry of Finance (MoF) officials are now requiring copies of Ministry of Oil (MoO) documents before processing LC requests, effectively stopping progress. MoF officials have also transferred MoO funds to a different MoO bank account, further confusing the LC process. MoO officials also question MoF’s need to review contracts that have been approved through required channels. 14 UNCLASSIFIED August 29, 2007 UNCLASSIFIED [5.] Help Iraq Strengthen Its Economy – Oil Update and Job Creation D E P A R T M E N T Oil Update: • Crude oil price averages in world markets for the week ending August 24 closed with the following prices: – Basrah Light at $64.2/ barrel – Dated Brent at $68.64/barrel – WTI Cushing at $70.244/ barrel – Oman/Dubai at $66.638/barrel Employment Update: Iraqis Last Week Employment Program O F S T A T E Iraqis This Week % change Gulf Region District (GRD) IRRF (Includes MILCON/OMA) 24,576 23,752 -3.35% US Agency for International Development (USAID) (ESF) 81,202 81,202 0.00% Commander's Emergency Response Program (CERP) 3,678 3,519 -4.32% Multi-National Security Transition Command-Iraq (MNSTC-I) 7,608 6,877 -9.61% 117,064 115,350 -1.46% GRAND TOTAL 15 UNCLASSIFIED August 29, 2007 UNCLASSIFIED [5.] Help Iraq Strengthen Its Economy - Banking Sector 1 ,5 0 0 $ 1 0 0 .0 $ 9 0 .0 1 ,4 5 0 $ 8 0 .0 $ 7 0 .0 1 ,4 0 0 $ 6 0 .0 1 ,3 5 0 $ 5 0 .0 $ 4 0 .0 NID Exchange Rate O F Central Bank of Iraq USD Currency Auction: August 23, 2006 – August 27, 2007 USD Sold (Millions) D E P A R T M E N T Central Bank’s US Dollar (USD) Currency Auction: • The following table shows volume sold of and exchange rates for USD in the Iraqi currency auction since April. Since September, the Central Bank of Iraq (CBI) has slowly appreciated the dinar, as suggested by the IMF, in an effort to rein in galloping inflation. There are signs that this effort has begun to bear fruit, as year-to-date inflation is 4.8% and the year-onyear inflation rate was 30.2% in July. This decline in the rate of inflation may be temporary, however, as the CBI has slowed its appreciation of the currency and the rate of inflation (particularly for energy prices) typically picks up in the second half of the year. 1 ,3 0 0 $ 3 0 .0 $ 2 0 .0 1 ,2 5 0 $ 1 0 .0 $ 0 .0 A Au u g g S 30 23 e S p 6 - S- 2 ep 9 - ep S 13 S e 5 ep -S p 12 2 S 1 - ep ep S 1 e 9 O 26 p 2 c O t3 -O 5 ct - c t O 11 O c 2 ct - t 1 O 10 N 9 - ct 1 o O 8 N v o 4 ct 2 v 8 N 9 - ov N N No ov 7 o v 14 v 1 2 D e 9 5 D c 6 - D- 2 ec 8 - e D 13 D e c 1 ec - c 2 D 12 Ja 0 - ec 1 Ja n 8 D e 8 n - c2 Ja 17 Ja 6 n - n 2 J 1 J a 3 - an 6 n J 22 F 3 0 an eb 2 F 6 Fe 9 eb b F F 14 e 5 eb - b 2 Fe 13 F 1- b eb F 2 e 0 M 28- b 2 ar M 7 7- ar M M M a 6 ar a r 1 3 2 r M 2 - M1 4 ar a r20 2 2 A 8 A p r -A 7 p 3 p r - r2 1 A 0- A p p A r r A 17 pr 8 p r -A 1 6 2 p M 4- r 2 a Ap 3 M y a 2 r3 M y9 -M 0 ay - ay M 1 Ma 8 ay 6 y -M 1 M 23 - ay 5 a Ju y 3 M a 22 n 0 y J u e -J 2 9 J u n e 6 -J u n n 1 u e Ju e 2 7- ne 4 ne 0 Ju 13 - n 26 Ju e1 - ne 9 Ju 2 Ju n 5 J u ly e 28 ly 1 Ju 8 J ly - u l y J Ju 1 u 5 ly 1 - l y Ju 1 Ju 10 J A u ly 7 - ly u l J 1 A gu y 3 24 ul 6 u s 1 - y g t - J 2 A us 7 A ul 3 y u g t 1 - A ug 3 u st 4 - ug us 0 u 22 Au s t 6 - gu t 1 3 A u st g u 21 st 27 S T A T E US $ Sold (Weekly Avg) 1 ,2 0 0 The New Iraqi Dinar (NID) exchange rate line is calculated as a weekly weighted average (NID/USD) 16 UNCLASSIFIED August 29, 2007 UNCLASSIFIED [5.] Help Iraq Strengthen Its Economy – Securities Markets Trading of Iraqi Bonds on the International Secondary Bond Market: June 13, 2006 - August 24, 2007 $80.00 12.00% $70.00 10.00% $60.00 $40.00 6.00% $30.00 Yield Percentage 8.00% $50.00 4.00% $20.00 2.00% $10.00 15-Aug 2-Aug 20-Jul 9-Jul 26-Jun 13-Jun 31-May 18-May 7-May 24-Apr 11-Apr 29-Mar 16-Mar 5-Mar 7-Feb 20-Feb 25-Jan 12-Jan 1-Jan 19-Dec 6-Dec 23-Nov 30-Oct 10-Nov 17-Oct 4-Oct 21-Sep 8-Sep 28-Aug 15-Aug 2-Aug 20-Jul 0.00% 7-Jul $0.00 26-Jun S T A T E Iraqi C om m ercial B ond S ales 13-Jun O F • The following table shows the daily bond resale price and yield on Iraqi bonds issued January 20. The bonds were originally issued to approximately two-thirds of Iraq’s commercial creditors as part of a debt exchange arrangement as per Paris Club terms. Iraq’s commercial debt was approximately $22 billion before the debt-swap arrangement. The bonds, which are not yet rated, will mature in 2028. Bond Price in USD D E P A R T M E N T Trading High = $73.98 (January 24) Trading Low = $64.66 (August 30) 17 UNCLASSIFIED August 29, 2007 UNCLASSIFIED [5.] Help Iraq Strengthen Its Economy – Economic Events Upcoming Conference to Focus on Business and Investment: D E • P A R • T M E N T In cooperation with the U.S. Government Task Force for Business Stability Operations (BSO) in Iraq, the Iraqi government will host an Iraq Business and Investment Conference in Dubai August 28-30. The goal of the conference, with 100 high net worth businesspeople from the Southern Governorates of Iraq participating, is to stimulate trade and investment in the south of the country by showcasing companies with clearly defined projects seeking outside financing from qualified investors. Investment opportunities will range from smaller businesses in need of a minimum of $1 million in financing to large enterprises seeking $200 million. Marketing Iraqi Products: O • F S • T A T E Shelmar, a retail chain based in Memphis, placed an order with an Iraqi factory last month for about 2,000 tracksuits and boys shirts. It is now hoped that European and Middle East based retailers will step in to buy the clothes. According to reporting from the Los Angeles Times and the Washington Post, some major U.S. retailers have denied they are close to agreeing on import deals involving clothing goods from Iraq. The firms have cited the uncertain political environment in country and the questionable viability of suppliers. 18 UNCLASSIFIED August 29, 2007 Data as of August 22, 2007 UNCLASSIFIED [5.] Help Iraq Strengthen Its Economy – Crude Oil Production 2.40 O F 2007 Iraqi Oil Ministry Goal: 2.1 MBPD 2.02 2.09 2.07 2.10 2.06 2.08 2.04 2.03 2.00 1.85 1.60 Millions of Barrels Per Day D E P A R T M E N T 1.15 1.20 0.80 0.40 S T A T E 0.00 June 11-17 June 18-24 June 25 July 1 July 2-8 July 9-15 July 16-22 Production July 23-29 July 30 August 5 August 612 August 1319 Target Power outages on August 16 and 17 affected crude oil production. 19 UNCLASSIFIED August 29, 2007 Data as of August 22, 2007 UNCLASSIFIED [5.] Help Iraq Strengthen Its Economy – Crude Oil Export Revenue (US$B) O F $4.00 $3.50 1.76 1.80 1.62 1.44 1.50 1.45 1.67 1.64 1.58 1.55 $3.00 1.50 1.47 $2.50 1.20 $2.00 $3.39 $3.05 $2.75 $2.73 $2.45 $2.75 USD (Billions) $1.58 1.30 $1.50 $2.96 $2.46 $2.19 0.60 S T A T E Exports (MBPD) 2.40 Millions of Barrels per Day D E P A R T M E N T Projected $1.89 $2.11 $1.92 $1.00 $0.50 0.00 $0.00 Sep-06 Oct-06 Nov-06 Dec-06 Jan-07 Feb-07 Mar-07 • 2006 Revenue Estimate: $31.3 Billion • 2007 Revenue Estimate: $20.8 Billion 20 Apr-07 May-07 Jun-07 Jul-07 Aug-07 (Year to Date) UNCLASSIFIED August 29, 2007 Data as of August 22, 2007 [5.] Help Iraq Strengthen Its Economy – Total Critical Refined Product Supplies UNCLASSIFIED Domestic Production O F 100% 3% 19% 80% Percentage of Share of Weekly Fuel Supplies D E P A R T M E N T 58% 69% 60% 97% 81% 40% 42% 20% S T A T E Import 31% 0% Diesel Kerosene Gasoline LPG Note: This is a daily average for August 13 – 19 • Diesel: 5.5 ML supply of 24.5 ML target • Kerosene: 3.4 ML supply of 11.1 ML target • Gasoline: 10.5 ML supply of 23.1 ML target • LPG: 1,651 tons supply of 5,100 tons target 21 UNCLASSIFIED August 29, 2007 Data as of August 22, 2007 UNCLASSIFIED [5.] Help Iraq Strengthen Its Economy – National Stock Levels Jun-07 Aug-07 Goal 25 20 15 Days D E P A R T M E N T Jul-07 10 O F 5 S T A T E 4 3 4 3 3 3 2 2 1 1 1 1 0 Diesel Kerosene Gasoline LPG • The goal is to have on hand 15 days supply of all refined products, calculated on the basis of maximum consumption over the year and not adjusted for seasonal variation. The numbers given above are monthly averages. 22 UNCLASSIFIED August 29, 2007 UNCLASSIFIED [6.] Help Iraq Strengthen the Rule of Law and Promote Civil Rights– Rule of Law Fifteen Former Regime Officials on Trial for Crimes Against Humanity: D E P A R T M E N T O F • Saddam Hussein’s cousin, widely known as “Chemical Ali,” as well as 14 others faced charges of crimes against humanity August 21 for the crushing of a Shiite uprising after the 1991 Gulf War, as Iraq’s third trial against former regime officials began with three of the defendants already sentenced to death in another case. The Iraqi High Tribunal said the defendants are charged with engaging in widespread or systematic attacks against the civilian population. The evidence during the trial will include testimony from about 90 victims and witnesses. • One such victim was former Iraqi lawmaker Kamil Kanoun Abu al-Heil, who gave testimony of torture and beatings August 23. Heil said he had, in March 1991, during a Shiite Muslim uprising against Saddam’s Sunni-led regime, been detained at a Baghdad prison where hundreds of others were brought daily to be “beaten and tortured.” Heil, a Shiite who served as a legislator during Saddam’s rule, said he was arrested when he had come to Baghdad to attend a parliamentary session. He was detained in the alRadhwaniyah prison near Baghdad. S T A T E 23 UNCLASSIFIED August 29, 2007 UNCLASSIFIED [7.] Increase International Support for Iraq – Developments British Leader Rejects Call For Iraq Withdrawal Timetable: D E P A R T M E N T O F • On August 28, British Prime Minister Gordon Brown rejected a call to pull his country’s troops out of Iraq, saying they still had an important job to do battling militias and providing security. In an open letter to opposition party leader Sir Menzies Campbell, Brown argued that it was wrong to say the continued presence of British troops would achieve little, or to say that they were severely restricted in what they can do. France Seeks to Rebuild Ties with Iraq: • French President Nicolas Sarkozy said that Iraq’s road to recovery begins with a clear timetable for the pullout of foreign troops, as he outlined a more assertive role for France in world crisis areas. Making his first major foreign policy speech since taking office earlier this year, Sarkozy said his country was ready to help the international community find a political solution in Iraq. U.S. Grants UN Project 30 Million Dollars for Iraqi Children: S T A T E • The U.S. announced August 28 that it will give UN agencies $30 million in order to help tens of thousands of Iraqi child refugees to attend school in neighboring countries in a joint UNHCR-UNICEF education initiative for Iraqi children. 24 UNCLASSIFIED August 29, 2007 UNCLASSIFIED [7.] Increase International Support for Iraq – Contributors to Iraqi Stability Operations D E P A R T M E N T O F S T A T E 25 Countries with forces in Iraq (in addition to US) Albania Denmark Korea Poland Armenia El Salvador Latvia Romania Australia Estonia Lithuania Singapore Azerbaijan Georgia Macedonia Slovakia Bosnia-Herzegovina Japan Moldova Ukraine Bulgaria Kazakhstan Mongolia UK Czech Republic TOTAL ~ 11,685 Forces *Note: Fiji participating as a part of the UN mission in Iraq. 33 Countries and NATO* (including US) Support Iraqi Stability Operations *33 includes the 25 countries listed above, the US, Fiji, and seven NATO, non-MNF-I countries: Iceland, Italy, Netherlands, Portugal, Slovenia, Turkey 25 UNCLASSIFIED August 29, 2007 UNCLASSIFIED [8.] Strengthen Public Understanding of Coalition Efforts and Public Isolation of the Insurgents – Developments Prime Minister’s Statements on Strategic Agreement Dominate Iraqi Press: D • On August 27, Baghdad newspapers highlighted Iraqi Prime Minister Nuri al-Maliki’s E recent statements in which he called for a strategic agreement between the five main P political blocs. During a press conference held in Baghdad after the inauguration of the A cabinet’s press center August 26, the government-funded al-Sabah newspaper quoted R Maliki as highlighting partnership as a key decision-making mechanism for the Iraqi T political process. M E CBS News Translator Abducted and Killed in Iraq: N • A translator for CBS News in Iraq was found dead after being abducted from his home by T armed men a week ago, CBS said August 27. Anwar Abbas Lafta, an Iraqi who had O F worked for CBS News for ten months, was abducted on the evening of August 20 by men who entered his home, fought with him and his brother and shot his sister in the arm, CBS said in a statement. S T A T E 26 UNCLASSIFIED August 29, 2007 UNCLASSIFIED Iraq Weekly Status – General Information D E P A R T M E N T • This brief draws from multiple sources. References are cited on the following pages. • Please forward all questions and/or comments to: NEA-I-IPOG-DL@state.gov O F S T A T E 27 UNCLASSIFIED August 29, 2007 UNCLASSIFIED Notes and Source Citations (1 of 3) Slide 5: D E P A R T M E N T O F S T A T E – August 26, 2007 - MNF-I Press Conference with Adm. Fox (http://www.mnf-iraq.com/index) Slide 6: – August 26, 2007 - MNF-I Press Conference with Adm. Fox (http://www.mnf-iraq.com/index) – August 26 – August 10-16, 2007 - PRT Weekly Summary – August 18, 2007 - The Advisor Slide 7: – August 18, 2007 - The Advisor Slide 8: – DoD Input to Iraq Weekly Status Report August 29, 2007 Slide 9: – August 26, 2007 - http://news.bbc.co.uk/1/hi/world/middle_east/6964933.stm – August 27, 2007 - http://www.cbsnews.com/stories/2007/08/27/politics/animal/main3207881.shtml – August 29, 2007 - http://news.yahoo.com/s/ap/20070829/ap_on_re_mi_ea/iraq Slide 10: – NEA Political Section, NEA-I-POL-DL@state.gov Slide 11: – ITAO Weekly Report, August 29, 2007 Slide 12: – POC Department of State, NEA-I ASSIST, 202 647-9815 – The chart shows average daily power production in megawatt hours (MWh). 120,000 MWh goal equates to 20 hours at 6000 MW average supplied load or 24 hours at 5000 MW average supply load. 28 UNCLASSIFIED August 29, 2007 UNCLASSIFIED Notes and Source Citations (2 of 3) D E P A R T M E N T O F S T A T E Slide 13: – August 24, 2007 - Iraq Updates (Azzaman) – www.iraqupdates.com/p_articles.php/article/21016 – August 21, 2007 - USACE Daily Report – August 26, 2007 - USACE Daily Report Slide 14: – August 23, 2007 - http://news.yahoo.com/s/afp/20070823/wl_mideast_afp/jordaniraqoil – August 27, 2007 - IIC, (U) Contracting Impediments in Oil Ministry Slide 15: – Oil Prices are sourced from Bloomberg Employment Update: – Information regarding the Employment Update was sourced from the ITAO Weekly Report – August 29, 2007. – CERP has not reported figures for some time. Until they report accurate data, the number will remain at 0. – PCO will be reporting on a bi-weekly basis. Slide 16: – Information regarding the NID auction was gathered from the Central Bank of Iraq’s website: http://www.cbiraq.org. Slide 17: – Iraqi Bond Prices are sourced from Bloomberg Slide 18: – August 26, 2007 - http://www.iraqupdates.com/p_articles.php/article/21103 – August 26, 2007 - http://www.iraqupdates.com/p_articles.php/article/21101 – August 29, 2007 - http://www.usatoday.com/printedition/money/20070829/b_madeiniraq.art.htm Slide 19: – Department of State, NEA-I-ECON, 202-647-9885 29 UNCLASSIFIED August 29, 2007 UNCLASSIFIED Notes and Source Citations (3 of 3) D E P A R T M E N T O F Slide 20: – Department of State, NEA-I-ECON, 202-647-9885 Slide 21: – Department of State, NEA-I-ECON, 202-647-9885 Slide 22: – Department of State, NEA-I-ECON, 202-647-9885 Slide 23: – August 21, 2007 -http://news.yahoo.com/s/ap/20070821/ap_on_re_mi_ea/iraq_trial;_ylt=AgsBCHlgkNnwipiOykWddFVvaA8F) – August 22, 2007 - AFP - http://news.yahoo.com/s/afp/20070822/wl_mideast_afp/iraqtrialshiites) Slide 24: – August 28, 2007 - http://voanews.com/english/2007-08-28-voa42.cfm – August 21, 2007 - http://www.forbes.com/feeds/ap/2007/08/21/ap4040505.html – August 28, 2007- http://www.africasia.com/services/news/newsitem.php?area=mideast&item=070828102048.zne46yhf.php Slide 25: – S T A T E Source: DOD Input to Weekly Status Report, updated bi-weekly. Slide 26: – August 27 - http://www.reuters.com/article/companyNewsAndPR/idUSN279135020070827 – August 27 - http://www.iraqupdates.com/p_articles.php/article/21138 – August 23 - http://www.iraqupdates.com/p_articles.php/article/20966 30 UNCLASSIFIED