The Iraq-KRG dispute has halted crude oil exports through Türkiye’s Ceyhan port. Disagreements over budget provisions and export volumes persist, with the Kurdish government’s request to increase local consumption seen as a violation by Iraq’s federal government. A Kurdish delegation is expected to resolve financial disputes and discuss export resumption.
Disagreements between Iraq’s federal government and the Kurdistan Regional Government (KRG) are currently obstructing crude oil exports through Türkiye’s Ceyhan port. The Iraqi Parliamentary Oil and Gas Committee reported this stall as ongoing, signaling a need for resolution as soon as possible.
According to Ali Shaddad, a spokesperson for the Committee, the Ministry of Oil has completed all necessary procedures and notified the Turkish government of its readiness to resume exports. Recent budget amendments have set the permissible export volumes between 300,000 and 325,000 barrels per day (bpd).
Shaddad criticized the KRG for requesting an increase in local consumption from 46,000 bpd to 110,000 bpd, stating that it violates the approved budget and obstructs exports. He emphasized that the current negotiators do not have the authority to amend any legal obligations, making compliance essential for resuming exports.
The KRG argues that the agreed export volumes cannot be met, which could lead to further delays. Shaddad urged Prime Minister Mohammed Shia Al-Sudani’s government to strictly enforce the budget provisions and emphasized the importance of adhering to established laws and technical matters.
Iraq is obligated under OPEC regulations to export 400,000 bpd from the north but has only shipped 300,000 bpd, leading to financial losses. Reports of Iraq potentially exiting OPEC have been dismissed by Shaddad, who claimed such assertions are false and detrimental to Iraq’s oil revenues and international prestige.
A meeting between a Kurdish delegation and Iraqi oil officials in Baghdad is anticipated soon to seek a resolution to the ongoing disputes. Financial disagreements are a major hurdle in resuming exports, with oil companies in the region demanding advance payments, which Baghdad refuses until financial concerns are settled.
The ongoing dispute between the Iraqi federal government and the KRG has resulted in halted crude oil exports via the Ceyhan port. Key issues include disagreements over budget provisions and export volumes, with both parties’ differing approaches complicating negotiations. A meeting between Kurdish officials and Baghdad is expected to address these financial disputes and seek a resolution for resuming exports.
Original Source: shafaq.com
