NORWEGIAN AMBASSADOR TO IRAQ ON SECURITY,

C O N F I D E N T I A L BAGHDAD 002146 SIPDIS E.O. 12958: DECL: 07/09/2018 TAGS: PREL PGOV NO IZ SUBJECT: NORWEGIAN AMBASSADOR TO IRAQ ON SECURITY, HYDROCARBONS LEGISLATION, AND BUSINESS OPPORTUNITIES Classified By: Ambassador Ryan C. Crocker for reasons 1.4(b) and (d). ¶1. (C) In a July 8 courtesy call with Ambassador Crocker, Norwegian Ambassador Mette Ravn (resident in Amman) remarked on the clear difference in the improved security atmosphere she felt on this trip to Baghdad for the IRFFI Donors, Committee meeting as compared to her first visit last December to present her credentials. Travel through the city and through checkpoints seemed easier. Ambassador Crocker replied that the current level of violence is lower now than it has been since January 2004, even though the number of troops here is 25 percent less than at the height of the surge. Even so, Ambassador Ravn said that the Norwegians have no immediate plans to return to Baghdad to establish a permanent presence. Instead, she plans to travel on an ad hoc basis from time to time when the situation warrants and to places where it will make a difference. In particular, she imagined trips to the north. ¶2. (C) Ambassador Ravn asked about progress on the hydrocarbons legislation and its prospects for movement through the Council of Representatives. She noted that Norwegian companies are interested in capacity building and training for the Ministry of Oil. The Norwegian oil company DNO currently has an MOU for production sharing in the Kurdish region and there is a Norwegian NGO working in Sulaymaniyah on demining and human rights projects. Statoil Hydro is one of the 41 international companies bidding for the development of six oil fields and two natural gas fields. In reply, Ambassador Crocker urged Norwegian engagement with decision makers to push for movement on the law and to underline the importance of achieving consensus. He noted that the law is not likely anytime soon given that there are considerable difficulties still to be overcome as well as issues competing for consideration like elections, the budget supplemental, and the execution of budget spending priorities. ¶3. (C) In an earlier courtesy call on VP Tareq Hashimi, in addition to discussing the themes of Iraqi-led reconciliation and the upcoming elections, Ambassador Ravn reported that Hashimi pressed her for foreign business investment in Iraq. However, she noted the difficulties that small and medium sized enterprises have operating in the Middle East, and the problems with infrastructure and support from the legal system. Ambassador Crocker replied that there are many American businesses with contracts in Iraq and an active American Chamber of Commerce. Moreover, he pointed out that as DPM Barham Salih has said, Iraq is now trying to link itself to the world economic order in a way that it has not attempted to do for decades. Iraq is now engaging, and contact with European partners both in Europe and in meetings here is important. CROCKER