Pre-Qualification Requirements for Second-Party Inspection Companies in the Oil Sector

Pre-Qualification Requirements for Second-Party Inspection Companies in the Oil Sector First: The second-party inspection companies shall provide one of the sector companies for the purpose of technical accreditation with the following: The scope of its work supported by the documents and technical requirements that must be available for its accreditation (its previous experience in its field of specialization and similar work completed in the previous 3 years and documents certified by the beneficiary parties proving its good performance towards the inspection services implemented by it) to survey its efficiency. List of its offices inside Iraq (and outside it, if any) through which its services will be provided directly to the oil sector companies without the intervention of an intermediary company. All documents and information related to its headquarters and operating branches, including its managing director, executive directors, branch managers and their contact information, and documents and information related to its merger or participation with other secondary inspection companies (attach the partnership and coalition contract stating the shares of each company). Proof that it meets the accreditation requirements according to the latest version of the specifications below and from one of the accredited granting bodies or authorities exclusively (valid): ISO 9001-2015 ISO 17020 / type C ISO 17025 (if it has laboratories) Health, Safety and Environment Systems ISO 14001 ISO 45001 Information that ensures that the activities assigned to it are performed in the required manner, including: Human resources and their organizational structure (flow chart. A list of the following: Its accredited inspectors and their CVs The devices and equipment it owns All necessary documents in the event that any new inspection activity or activity is added to its previous activities on the basis of which it was qualified. Samples of the documentation procedures that were previously implemented for the benefit of the beneficiary companies (method statement / written procedures) including risk assessment (Risk based assessment). After the second inspection company fulfills all the technical requirements (the technical aspect thereof) mentioned in paragraphs (1-7) above, the final qualification (especially the engineering and technical aspect) is carried out by conducting a field visit to the parent company and its operating branches by the oil company that received the accreditation request for the purpose of verifying the validity of the documents submitted by it, accompanied by a number of members of the ministerial team responsible for auditing and technical certification of accreditation.   Second: After the second party company is accredited, it is required (upon contracting) to provide the oil sector companies with paragraphs (1-7) of the first above in addition to the two requirements:   Documentary procedures that will be implemented to accomplish the assigned task to it for the benefit of the oil companies (method statement/written procedures) including risk assessment (Risk based assessment). Prepare the following: Its accredited inspectors and their CVs (executing the work) in line with the size and type of work to be accomplished (and taking into account the delegation of Iraqi inspectors if possible) with the necessity of verifying their scientific and practical capabilities towards the scope of work (where required) and based on the vision of the oil company. The devices and equipment its own with their calibration certificates (in force and from the accredited authorities).   Third: Financial and legal requirements (submitted to sector companies upon contracting) The company’s financial statement for the last 2 years as a minimum to show the good standing of the financial position. Its establishment certificate certified by the Ministry of Trade / Companies Registrar Department for Iraqi companies, and by Iraqi embassies for foreign companies in their countries in addition to the articles of association for its internal bylaws. Submitting a pledge that there are no claims: Unresolved financial Judicial, administrative or debt against the institutions of the Iraqi side and vice versa (based on the paragraphs of the Council of Ministers Law No. 48 of 2018) The financial efficiency of the company by determining the capital and cash liquidity approved for it with the confirmation of the competent authority. Ensuring the good standing of the legal position of the company in terms of the blacklist and the list of defaulting companies. Its pledge not to carry out engineering inspection activities at the various sites of oil sector companies in the event that it is one of the third adopted inspection companies or owned by it at the same site. Its pledge that its operating branches and the companies merged with it will complete the assigned task to or that will be assigned to ad in accordance with the technical and contractual conditions and requirements and for all related contracts.   How Etihad Can Assist Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.  

Registration – Basra Oil Company

Registration Requirements with Basra Oil Company Companies documents certified 2025 from Companies Registration Department. Financial statement for the last 3 years certified. Company profile, including the field of specialization, a list of similar works, and contracts executed for the last 3 years, along with copies of those contracts, along with the amount of each contract, and completion certificates. International ISO quality certificates (valid) or other. Certificates of competence and good performance from companies you have dealt with. Company personnel and their CVs. Valid classification ID. Clearance Letter from the General Tax Department for the last 3 years or a tax ID. Clearance Letter from the Ministry of Labor and Social Affairs, Retirement and Social Security Department. Confirmation from Municipality Council addressed to Basra Oil Company confirm the residency address of general manager along with copy of IDs and passport. Complete the attached security form, signed and stamped. Pledge stating that you will not work on contracts or projects related to the oil and gas sector in the Kurdistan Region of Iraq. If such contracts or projects exist, your company pledges to terminate them within 3 months of notifying us. 2 flash drives in PDF format containing all the above documents, in addition to the paper documents, in a unified file.   How Etihad Can Assist Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.  

How to Avoid Business Disputes and Legal Violations in Iraq

How to Avoid Business Disputes and Legal Violations in Iraq Ensure proper company registration with the relevant Iraqi authorities and maintain valid commercial records. Obtain all required licenses and permits specific to your business activity and location. Comply with tax and social security obligations, including timely filings and payments. Use clear, well-drafted contracts governed by Iraqi law for partners, suppliers, clients, and employees. Define roles, responsibilities, and payment terms to prevent misunderstandings and disputes. Maintain internal policies and governance controls, including compliance, HR, and financial procedures. Monitor regulatory updates issued by Iraqi ministries and regulatory authorities. Document business activities and transactions to support compliance and dispute resolution. Address disputes early through negotiation or legal advice before escalation. Seek ongoing legal and regulatory guidance to manage risks and ensure compliance with Iraqi laws. How Etihad Can Assist Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.  

How to Establish a Joint Stock Company in Iraq

How to Establish a Joint Stock Company in Iraq Establishing a Joint Stock Company (JSC) in Iraq is governed by the Iraqi Companies Law and supervised by the Companies Registration Department at the Ministry of Trade. A JSC is suitable for larger investments and projects, as its capital is divided into shares that may be transferred in accordance with the law. Key Requirements Minimum number of shareholders: as prescribed by Iraqi law Board of Directors: appointed in accordance with statutory requirements Capital: subject to minimum capital rules and deposit requirements Company objectives: must be lawful and clearly defined   Step-by-Step Process Reserve the company nameObtain name approval from the Companies Registration Department. Prepare incorporation documentsDraft the Articles of Association, shareholder details, board structure, capital allocation, and company objectives. Capital depositDeposit the required capital into a local Iraqi bank and obtain confirmation. File the incorporation applicationSubmit the application and supporting documents to the Companies Registration Department. Regulatory review and approvalAuthorities review the application for legal and regulatory compliance. Company registrationUpon approval, the JSC is officially registered and issued a certificate of incorporation. Post-registration steps Open permanent bank accounts Register with tax and social security authorities Obtain sector-specific licenses, if required   Legal Status & Compliance A Joint Stock Company acquires separate legal personality upon registration. Ongoing obligations include corporate governance compliance, board reporting, shareholder meetings, and regulatory filings. How Etihad Can Assist Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.  

How to Start a Business and Establish a Company in Iraq

Step-by-step: How to Establish a Company in Iraq Choose the legal form: Most common is  Limited Liability Company (LLC), Joint Stock Company, or Foreign Company Branch/Representative Office. Reserve the company name: Submit proposed names and obtain name approval from the Companies Registration Department (Ministry of Trade). Prepare incorporation documents: Articles/contract, shareholder/owner IDs, addresses, management details, company objectives, and (for foreign owners) legalized corporate documents and Power of Attorney. Register the company: File the application with the Companies Registration Department and complete required forms and approvals until the registration certificate is issued. Open a bank account: Open a corporate account and complete any capital deposit requirements (if applicable to your company type). Tax registration: Register with the General Commission for Taxes and obtain a tax file number (and withholding/VAT-style obligations if applicable to your activity). Social security / labor registration: Register employees and the company with the relevant Social Security / Labor authorities once hiring begins. Municipality & premises requirements: Secure a lease/title and obtain local municipality approvals and signage permissions if required. Sector licenses: Obtain any necessary permits from the competent regulator (e.g., oil & gas, telecom, health, education, transport, finance, trade). Post-registration compliance: Maintain company records, renew licenses where needed, and comply with reporting, payroll, and tax filings, legal advisor, social security, visa and work permit for foreigners, mail box & IQ domain, security approval etc.. How Etihad Can Assist Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.  

AML/CFT Compliance Update – Central Bank of Iraq

AML/CFT Compliance Update – Central Bank of Iraq The Central Bank of Iraq (CBI) has issued updated supervisory controls on Anti-Money Laundering, Counter-Terrorist Financing, and Proliferation Financing, applicable to all licensed banks. Banks are required to review and comply with the attached regulatory controls in accordance with CBI instructions and applicable supervisory standards.   How Etihad Can Assist Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.  

Central Bank of Iraq Directs Banks to Establish Financial Inclusion Departments

Central Bank of Iraq Directs Banks to Establish Financial Inclusion Departments The Central Bank of Iraq (CBI) has issued an official circular addressed to all licensed banks, instructing them to establish a dedicated Financial Inclusion Department within their organizational structures. The instruction supports the national financial inclusion strategy, aims to expand access to financial services, enhance public confidence in the banking sector, and promote financial awareness among various segments of society. Under the CBI instruction, banks are required to: Establish a Financial Inclusion Department within the bank’s approved organizational structure Integrate existing units related to banking awareness and consumer protection into the new department Assign the department to senior management supervision to ensure effective coordination Develop and implement financial inclusion strategies and programs Submit required reports and data to the Central Bank of Iraq in accordance with prescribed formats and timelines Ensure that department leadership possesses appropriate banking, administrative, and financial expertise   The circular emphasizes that financial inclusion activities must align with CBI policies, governance standards, and supervisory requirements.   This directive reflects the CBI’s continued efforts to: Strengthen the role of banks in financial inclusion initiatives Increase access to banking and financial services Enhance financial literacy and consumer protection Improve coordination between banks and regulatory authorities Support sustainable development of the Iraqi banking sector   Banks are required to review their internal structures and take the necessary steps to comply within the specified timeframe. How Etihad Can Assist Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.  

Iraq Ministry of Planning – Regulation No. (23) on Work Withdrawal

Iraq Ministry of Planning – Regulation No. (23) on Work Withdrawal The Ministry of Planning issued Regulation No. (23) concerning the withdrawal of work, supplementing the Instructions for Implementing Government Contracts No. (2) of 2014, with the aim of regulating work withdrawal procedures and ensuring the protection of public funds and the proper execution of projects. The regulations clarify the circumstances under which work may be withdrawn from a contractor or subcontractor, and the legal procedures to be followed, including warnings, processing periods, the responsibilities of the parties, and the effects of work withdrawal on guarantees and contractual obligations. The regulations also address the status of consultancy and non-consultancy contracts, and the mechanisms for completing or re-tendering work within the applicable legal frameworks. These regulations represent an important step towards strengthening governance, contractual discipline, and reducing risks in the implementation of government projects, thereby achieving efficiency and transparency in contract management. Aim to organize work withdrawal procedures within the framework of the Instructions for Implementing Government Contracts No. (2) of 2014. Specify the circumstances under which work may be withdrawn from a contractor or subcontractor in the event of a breach of contractual obligations. Formal warnings and timeframes for addressing shortcomings must be granted before a decision is made to withdraw the work, except in serious cases. Technical and legal committees are formed to assess the reasons for and consequences of work withdrawal. Clarify the responsibilities of the contracting authority and the contractor in the event of work withdrawal. A mechanism is established for confiscating or liquidating guarantees based on the type of violation and the percentage of completion. Define Procedures and outlined for completing the work, either at the expense of the defaulting contractor or by assigning it to another contractor. Define procedures for handling and evaluating completed and uncompleted work, both financially and technically. Consultancy and non-consultancy contracts are included under the provisions for work withdrawal. Regulate the legal implications of work withdrawal on claims, fines, and compensation Enhance governance and transparency and reduce the risk of project delays in government projects. Protect public funds and ensure the proper execution of contracts within the applicable legal frameworks. How Etihad Can Assist Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.  

Amend Government Contracts Instructions

Amend Government Contracts Instructions Ministry of Planning issued the amendments of the instructions of Government Contracts No. (2) of 2014 by adding a new provision to Clause (4) which is as follows: Under this amendment, the final acceptance certificate issued by the Head of the Contracting Authority is considered conclusive evidence that the contractor or company has properly completed the contract in full compliance with contractual terms and applicable laws. This update reinforces legal certainty in government contracting and aligns contract execution with Article 870(1) of the Iraqi Civil Code No. (40) of 1951 (as amended). Such developments play an important role in strengthening governance, compliance, and dispute prevention in public sector projects. How Etihad Can Assist Etihad provides legal and regulatory advisory services to banks, financial institutions, and businesses, supporting compliance with applicable laws, regulations, and regulatory guidance issued by any competent authorities.  

Companies Registration

Companies Registration Companies Registration Department #Iraq has announced its circulation to accepting the financial statements of 2024 prepared by the accountant and signed by the company’s general manager (in their draft form) to cut the timeframe required for its submission by 7 Oct 2025 due to the momentum within the Accountants and Auditors Syndicate regarding the procedures for attesting financial statements. The final certified version must be submitted before the end of 2025.