Two S. Korean firms fail screening for Iraqi oil deal

By Nam Kwang-sik
SEOUL, April 3 (Yonhap) -- Two South Korean oil companies failed a second
prequalification screening of eligible bidders for oil fields in southern Iraq,
company officials said Friday.

The two companies -- top refiner SK Energy Co. and the state-run Korea National
Oil Corp. (KNOC) -- took part in the screening in January.
"We believe that the failure of the screening came from failing to meet Iraq's
requirements," said Jeon Byong-hyuk, a spokesman for KNOC.
An official at SK Energy, who asked not be identified, also confirmed the
company had failed the screening.
On Thursday, Iraq's oil minister Hussein al-Shahristan told Korean ambassador Ha
Tae-yun that the two companies would not be allowed to bid on the oil fields due
to an illegal deal signed last June with the government of Iraqi Kurdistan to
tap the Bazian oil field in the north.
ksnam@yna.co.kr
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