GLOBAL OIL

Rollover map, or click to enlarge

Iraq should be one of the wealthiest oil producers in the world. It has the 4th largest proven oil reserves in the world and considerable unproven reserves. Iraq's flat terrain makes oil production costs low.

But 25 years of tyranny, sanctions, wars and insurgency have crippled its petroleum infrastructure. The 1980-88 war with Iran, Baathist government mismanagement, U.N. sanctions in the 90s, the U.S. invasion in 2003, and now continuous sabatoge by insurgents have kept refineries and pipelines in constant need of repair. Iraq must often actually import oil to get by. Smuggling is also a problem.

There are 5 major fields of which Rumaila in the south (20 billion barrels) and Kirkuk in the north (16 billion) are the largest.

Iraq's three main sectarian groups (Shi'ite, Sunni and Kurd) continue to squabble over oil revenue control.