Shi'ite faction menaces Iraq Basra oil exports

Shi'ite faction menaces Iraq Basra oil exports

Friday 26 May 2006, 10:18am EST

By Mariam Karouny

BAGHDAD, May 26 (Reuters) - An Iraqi Shi'ite party with a power base in the Gulf port
of Basra could halt oil exports as part of a power struggle with the new government
in Baghdad, Iraqi oil officials and political sources said on Friday.

The small Fadhila party, one of several Shi'ite factions, has refused to join Prime
Minister Nuri al-Maliki's cabinet and is angered by the choice of Hussain al-Shahristani
as oil minister.

"Fadhila is in control," a senior Shi'ite political source close to the party said, warning
that oil industry employees loyal to Fadhila could mount a go-slow to cripple exports.

"Fadhila employees will do a minimum of work to satisfy domestic needs of 400,000 to 500,000
barrels a day," the source said. "As for exports and boosting output, let the ministry deal
with that."