We have operations in eight countries that implement the EITI, including in Azerbaijan, Indonesia, Iraq, Kazakhstan, Mozambique, Nigeria, Norway and Tanzania. Moreover, in five of these countries - Azerbaijan, Iraq, Kazakhstan, Nigeria and Norway - we have played an active role in supporting implementation during 2010. The following is a summary of efforts undertaken to support implementation in these countries:
Azerbaijan was the first country in the world to commit itself to undergo EITI's strict implementation programme. At the 2009 EITI Conference and Board meeting in Doha, Azerbaijan became the first EITI-compliant country. We have been an active promoter and partner of Azerbaijan's EITI implementation process since its early beginnings, and are currently an alternate representative to the multi-stakeholder group. In August 2010, we submitted our 13th EITI report. It covered the period January to June 2010.
Iraq, the single largest country in terms of proved oil reserves to commit to the EITI, became a member of the EITI in February 2010. Statoil participated in the launch of the Iraqi EITI (IEITI) in Baghdad in January 2010. We have since continued to support and follow IEITI through the Friends of Iraq EITI informal multi-stakeholder support group facilitated by the international EITI Secretariat.
Kazakhstan became an EITI candidate country in September 2007, and it published its third and fourth EITI reports in 2010. They cover payments and government receipts from a majority of the country's oil and gas and mining companies. In late 2010, Kazakhstan was judged to be "close to compliant" by the EITI Board. Statoil is a member of the EITI National Stakeholder Council (NSC), and it participates in three working groups in the NSC (social payments, reporting and communication working groups). In 2010, we also contributed to the translation into Kazakh of the Kazakhstan Validation Report submitted to the EITI Board and presented at "Voluntary vs. Mandatory Industry EITI Participation" at the 3rd National EITI Conference in June 2010.
Nigeria was accepted as an EITI candidate country in September 2007. Nigeria has produced two EITI Reports (for the periods 1999-2004 and 2005), which are full audits of tax, royalties and bonus payments in the sector, as well as efforts to cover the physical flows. By conducting a financial, physical and process audit of the sector, these reports go far beyond the EITI minimum requirements. A third report, covering 2006-2008, has been commissioned. It is expected to be completed in early 2011. In late 2010, Nigeria was considered to be "close to compliant" by the EITI Board. Statoil has supported EITI implementation in Nigeria since its establishment, and it has participated in both the audits conducted so far. We have also participated in roadshows and other events aimed at raising awareness in civil society and among other stakeholders. Statoil is also a supporter and member of the multi-stakeholder group for the recently established Bayelsa Expenditure and Income Transparency Initiative (BEITI) in the State of Bayelsa in Nigeria. The BEITI is a complementary initiative to the EITI aimed at promoting the principles of transparency in relation to both revenues and expenditure at the state level.
Norway was accepted by the board as an EITI candidate country in February 2009, and it remains the first and only OECD country to implement the EITI principles. In 2010, Norway published its first and second report, covering 2008 and 2009, respectively. The validation process was also initiated, and a complete validation report was submitted to the EITI Board in late 2010. Statoil participates in the multi-stakeholder group as a representative of the oil company constituency, together with ENI and the Norwegian Oil Industry Association.