Iraq’s $2 billion oil prepayment deal with China’s state-owned Zhenhua Oil Co. is on hold pending government approvals, the deputy director-general of State Oil Marketing Organization told S&P Global Platts.Now SOMO selected Zhenhua Oil Co. as one winner in a five-year oil supply deal that includes one-year prepayment of $2 billion. Under the deal, the oil is destination free and Zhenhua is allowed to resell cargoes. The deal, which is for supply of 4 million barrels per month, is the first such agreement to be introduced by federal Iraq’s oil marketer. Northern Iraq’s semi-autonomous Kurdistan region often has such deals with its traders. SOMO Deputy Director General Ali al-Shatari added that OPEC’s second-largest producer […]