By Jason Simpkins Managing Editor Money Morning

Exxon Mobil Corp. (NYSE: XOM) and Royal Dutch Shell PLC (NYSE ADR: RDS.A, RDS.B) on Thursday won the right to develop Iraq’s West Qurna-1 oilfield.

The agreement is the third such deal this year, which means Iraqi oil production could increase at a faster pace than previously expected and potentially lead to a drop in oil prices.

Iraqi officials earlier this week finalized an agreement with BP PLC (NYSE ADR: BP) and China National Petroleum Corp. (CNPC). Policymakers also reached an initial agreement with a consortium led by Italy’s Eni SpA (NYSE ADR: E) that will develop the Zubair oil field.

The latest deal gives Exxon and Shell the right to increase production at Iraq’s West Qurna-1 oilfield, which is believed to hold about 8.7 billion barrels of oil reserves. The field is already producing

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Russia's Foreign Minister Sergei Lavrov is apparently 'astonished' to hear that Poland's Foreign Minister, Radoslaw Sikorski, asked NATO and the US to deploy troops in Europe to provide 'some strategic reassurance', on a recent visit to Washington.  Since the scrapping of the US Bush-designed missile defense scheme which would have seen troops deployed in Poland and Czech Republic, the former has apparently been feeling vulnerable . . . Kim Zigfeld points out on Pyjamas Media that Russia's recent war 'games', which simulated a full scale pipeline-sabotaging missile-battering attack of Poland, taking place in the same month that seventy years earlier Russia did actually invade, is hardly likely to reassure the Poles of the ...

Apparently U.N. inspectors have found 'nothing to be worried about' upon their first examination of the formerly clandestine uranium enrichment site in Qom in Iran.  'The [Obama] administration must consider whether it makes sense to grant the regime two more months of grace' says an op-ed in the Washington Post.  'Prospects for a breakthrough with Iran have narrowed dramatically since a high-level meeting in Geneva on Oct. 1', the paper adds, quoting a senior European diplomat.  Good news for Nord Stream - after considerable environmental concerns, it has received approval from both Finland and Sweden.  The construction of the Russia-Germany pipeline could spell the demise of Ukraine as a transit country, suggests the Wall Street Journal.   Lukoil has lost out on initial rights to develop Iraq's much-coveted West Qurna field, with an an Exxon ...

Russia is planning to contribute $6.5 million to the IAEA Nuclear Security Fund in 2010-2015, the fund which supports, among others things, the use of nuclear security measures to counter nuclear terrorism.  Satellite photos apparently suggest that Iran has increased production at a uranium mine, emphasizing the necessity of broader UN inspections.  Russia is showing no hesitation regarding the Bushehr nuclear plant in Iran, according to Iranian Ambassador to Moscow Seyed Mahmoud Reza Sajjadi.  Siberia-oriented oil group Exillon Energy is hoping to become the first major Russian company to list on the London Stock Exchange in the 18 months since the financial crisis paralyzed the stock market - envisaging an IPO of $500 million.  Russian state oil company Zarubezhneft has come to a deal with Cuba Petroleos to explore the island's northern coast - a sign of ...

Today's POLITICUS in the New York Times tries to fathom the extent to which NATO and the Western powers really trust Russia to cooperate in putting pressure on Iran, regarding its nuclear programme.  Whilst certain recent moves by the West suggest an element of confidence in the Kremlin's good nature, such as the Mistral deal, and, depending on who you read, the scrapping of the missile defence scheme, others imply a latent distrust.  How much trust do -- or should -- the Western allies accord Russia in attempting to get its cooperation to stop Iran's drive for nuclear weapons?And while good faith is the issue, what practical Western steps or accommodations are understood in NATO Brussels' home-office line that the allies owe Moscow recognition of its "security interests"? ...

British-Russian relations have suffered greatly in recent years, with a series of incidents souring relations: the Alexander Litvinenko scandal, the British Council restrictions, diplomatic exits and various extradition rows.  Foreign Secretary David Milliband will visit Russia next week, the first visit by a British Foreign Secretary since relations hit their rocky low.  In an optimistic piece in the Times, the former British ambassador to Moscow, Tony Brenton, sees 'common ground' between Russia and Great Britain, and offers five suggestions for how the two sides can improve relations - without Britain shying away from tackling Russia on human rights.First, we should remain true to our own liberal principles. Russia is a signatory ...

Iran is 'unwilling to accept' a deal that would see most of its enriched uranium shipped abroad. 'Tehran is obviously probing to see whether President Obama can play hardball or whether he can be played.'  Russia will share the 'prize' that is the giant Yamal gas resource, but only because Gazprom can't handle the challenge on its own, argues Rossiyskaya Gazeta.  Ecuador's President Rafael Correa made his first visit to Russia this week to court support for a planned overhaul of his country's energy industry.  Signing a series of agreements on arms and energy (particularly hydropower), President Dmitry Medvedev heralded 'the beginning of cooperation'.  Will state-owned nuclear corporation Rosatom take the place of Germany's RWE in the Belene nuclear power plant?  Speaking at the Solar Power International Conference, being held in California this week, Robert Kennedy ...

A new World Bank report says that Russia is likely to bear the brunt of changes to regional climate brought on by global warming.  Gazprom, currently feuding with Rosneft over blocked access to energy infrastructure, may rework its 'tough line' of fining European customers that do not buy the minimum-stated amount of gas each month.  Rosneft has outlined plans for $6 billion worth of offshore investment for the next few years.  The question of Iranian nuclear capability continues to be debated in the press.  '[U.S.] administration officials claim to have won Moscow's agreement to join in sanctions should Iran refuse to make a deal,' says the Washington Post, but the paper is also running this Reuters story: 'the Kremlin said that sanctions against Iran are highly unlikely in the near future.' Naftogaz October gas bill from Russia is to be ...

Rosneft has been fined $180 million by the Federal Anti-Monopoly Service for deliberately driving up wholesale prices for gasoline and other oil products in the first half of 2009, and Lukoil was warned that it could face a similar penalty...in which case, it's going to need the $1.5 billion it is trying to raise by selling dollar-denominated debt to international investors.  The state-owned Sayano-Shushenskaya hydropower plant was raided by riot police yesterday as part of a probe into an August flood that killed 75 employees.  Iran agrees with the 'general framework' of the UN-brokered proposal that it send most of its enriched uranium to Russia for processing into reactor fuel, but plans to make some changes.  'One common reaction is: 'If the foreigners are prepared to agree to this, there must be something wrong with this from Iran's point ...

Whilst opposition leaders may still be in up in arms about October 11's sweeping United Russia victory, Clifford J Levy in the New York Times wonders why it is that the furor about allegations of vote-rigging seem to have very little in the way of grass roots support:There was none of the sort of outrage on the streets that occurred in Iran in June, when backers of the incumbent president, Mahmoud Ahmadinejad, were accused of rigging the election for him. Nor the international clamor that greeted the voting in Afghanistan, which last week was deemed so tainted that President Hamid Karzai was forced into a runoff.The apparent brazenness of the fraud and the absence of a spirited reaction says a lot about the deep apathy in Russia, where people grew disillusioned with politics under Communism and have seen ...