Iraqi oil contracts fizzle

Iraq is likely to abandon plans to sign up to $3 billion in short-term oil contracts, a U.S. diplomat said, putting in doubt deals that would give foreign oil firms their first major foothold in the country for decades, Missy Ryan reports for Reuters.

"It appears that on present form (the Iraqi government) probably won't proceed with most of these or all of them," Charles Ries, coordinator for Iraq's economic transition at the U.S. embassy, told reporters in Baghdad.