163: A big project that makes $120 million a day!

After Iraq proposed two cooperation methods, the meeting was suspended.

Outside the window, autumn leaves rustled, like an undercurrent surging.

In the lounge of the Jingxi Hotel, Peng Lin gently tapped his teacup, carefully considering Saddam's intentions.

"This seems like the Iraqi government is trying to win us over for cooperation, offering us great benefits, but in fact, it's more of a test for us!"

After some thought, Peng Lin said in a low, deep voice.

"A test?"

The military representative was a little confused.

"Saddam and the Iraqi government arming a million-strong army entirely with our Dragon Country's advanced weaponry is almost like gambling with the nation's fate!"

"They are betting on whether our Dragon Country can truly develop into a new world superpower capable of contending with USA and the Soviet Union!"

"Moreover, due to the existence of the Beidou satellite positioning system, we can 'paralyze' Saddam's million-strong army at any time!"

"So Iraq naturally hopes that our interests are deeply intertwined with theirs!"

"Under these circumstances, Saddam came up with such a plan, offering us a portion of their domestic oil field interests in exchange for our Dragon Country's support for Iraq!"

Peng Lin analyzed.

After hearing Peng Lin's words, several military representatives couldn't help but lower their heads in thought.

Just now, they had only seen the immediate benefits and had not truly considered the deeper strategic game at play.

"What if we choose to have Iraq pay for the military trade contract directly in US dollars?"

One of the military representatives looked at Peng Lin and asked.

"Then Iraq would still purchase our Dragon Country's weapons and equipment in the short term, but they would definitely not arm their entire million-strong army with our weapons!"

"Because then their entire national armed forces would indirectly be under our control!"

"So, to achieve this largest global arms trade order, we must also hand over a portion of the benefits to Iraq!"

"Under these circumstances, only if we invest a large amount of capital into Iraq's oil field development, forming an interest alliance with them, will Saddam and Iraq feel secure using our weapons!"

"This is what is often referred to as balance in international political games!"

Peng Lin explained.

Although Iraq had already decided to fully align with the Dragon Country, it still needed an attitude from the Dragon Country!

To this end, Saddam did not hesitate to give up a portion of the most core oil field development interests to the Dragon Country, in exchange for common core interests between the two sides!

You have to give to get!

"Saddam is not to be underestimated; he indeed possesses the demeanor of a warlord!"

Peng Lin exclaimed, even showing a hint of admiration for Saddam's political vision and methods.

In his previous life, this Middle Eastern warlord was able to rule Iraq for decades and fought two full-scale wars with USA; his tactics were indeed more than just talk!

"Chief Designer Peng, if Iraq hands over its domestic oil fields to us for development and operation, and shares half of the profits with us, wouldn't that be a huge loss?"

Another military representative asked again after listening to Peng Lin's analysis.

"Actually, this is Saddam's brilliance; it's not a loss at all, but a win-win!"

"Although Iraq's proven oil reserves rank third globally, its daily oil production is only 2.8 million barrels, far lower than Iran and Saudi Arabia!"

"It's almost on par with the oil production of a small country like Kuwait!"

"This is partly due to outdated oil field infrastructure and technology, but also due to restrictions from OPEC!"

"According to OPEC regulations, the annual oil production of each member country is strictly limited, and over-extraction is absolutely not allowed."

"However, as the leader of OPEC, Saudi Arabia's daily oil production reaches 12 million barrels, four times that of Iraq!"

"Iraq has always wanted to increase oil production, but has been repeatedly blocked by Iran and the Saudi royal family!"

"But the Saudi royal family has a very good relationship with us!"

"Once Iraq brings our Dragon Country in to jointly develop oil fields in their country, besides allowing us to invest capital and technology to develop new oil fields, the Saudi royal family, to save face for our Dragon Country and protect our interests, will also agree to a large-scale increase in Iraqi oil production!"

"So, at that time, the Iraqi government's oil revenue will not decrease; instead, it will increase!"

Peng Lin, with a smile, revealed Saddam's clever plan.

However, this was originally a win-win cooperation!

Now it remains to be seen whether the Dragon Country has the confidence to extend its influence into the Middle East!

Currently, due to the conflict between Iran and Iraq, international oil prices have soared to 40 US dollars per barrel!

If the Dragon Country invests all 20 billion US dollars into building oil fields in Iraq, even without counting Iraq's current oil production, it would be enough to increase the daily output of new oil fields to 3 million barrels within two years!

If calculated at an oil price of 40 US dollars per barrel, this means a daily revenue of 120 million US dollars!

Moreover, almost all of Iraq's oil fields are high-quality, with an extraction cost of only about 0.5 - 1 US dollar per barrel!

What's the difference between this and picking up money?

The oil in the Iraq region is shallow, of good quality, mostly light crude oil, and very easy to extract, making it absolutely suitable for the Dragon Country's investment!

"In that case, should we immediately agree to the Iraqi government's cooperation request?"

After understanding the calculations, the representatives couldn't help but breathe rapidly.

If this cooperation can be achieved, the Dragon Country will not only no longer have to worry about purchasing oil, but can even earn foreign exchange from Iraqi oil fields every year without effort!

Furthermore, the Dragon Country will not only cooperate with Iraq; additionally, in international oil tanker long-distance transport, the Dragon Country and Saudi Arabia signed an agreement earlier this year to jointly develop a global shipping positioning system for oil tankers based on the Beidou system!

And jointly established a company to provide satellite shipping positioning services for global oil tanker transport!

This way, the Dragon Country can not only enter the Middle Eastern oil field exploration industry but also increase its say in the international oil tanker transport industry!

"No rush!"

"For such a major matter, let's report it first!"

"Now it is Iraq that is eager to reach a cooperation agreement with us; we can add other conditions!"

"After all, Iraq is currently in conflict with Iran, and developing oil fields safely and stably in Iraq is not a simple matter!"

"As compensation, we must demand priority access to new oil field exploration rights in Iraq!"

"In addition, the Changhe factory system is currently establishing a civilian car factory, and we must expand our overseas markets!"

"The Iraqi army used our Dragon Country's weapons and equipment to defeat their old enemy Iran, so the domestic population will naturally have a favorable impression of our country."

"Therefore, we can take this opportunity to negotiate with Iraq, allowing our civilian cars to be exported to Iraq with low tariffs, to compete for the local market..."

Peng Lin took out paper and pen, carefully recording the upcoming negotiation points.

With the overall situation already decided, it is natural to strive for as many benefits as possible!

Moreover, car exports involve the development of domestic industry and economy, which is of paramount importance!

Peng Lin was also extremely attentive to this matter!