Pentagon is considering trucking fuel into Iraq, a move that would
take away one of Halliburton's prime responsibilities in the occupied
country, the Houston Chronicle reported.
Democrats on Capitol Hill accusing the Houston firm of charging
exorbitant fees for taking in gasoline and other fuels, the U.S.
Army Corps of Engineers has approached the military's own fuel
supply operation -- the Defense Energy Support Center -- about
handling this multimillion-dollar task.
still in the very early stages of negotiation," corps spokesman
Bob Faletti said. Faletti said Pentagon analysts have audited
Halliburton's bills and have found nothing improper. He cited
logistical difficulties, including finding enough trucks in Kuwait
to import the fuel.
corps reportedly began rethinking Halliburton's assignment once
it realized that, because of sabotage and other troubles, Iraq
would need to import fuel to get through the winter.
the $1.6 billion the corps had allocated as of Oct. 17 to rebuild
Iraq's oil infrastructure, some $762.4 million had been spent
to import fuel and repair Iraq's fuel distribution network. Halliburton
is permitted to earn a profit of anywhere from 2 to 7 percent
on the cost of the assignment.