Kurdistan Oil & Gas Development

[Anthea]

UK Court Orders Genel Energy

to Pay KRG $26.8 Million

Genel Energy announced on Friday that an arbitration tribunal has ordered its subsidiary, Genel Energy Miran Bina Bawi Limited (GEMBBL), to pay the Kurdistan Regional Government (KRG) US$26.8 million for recoverable legal costs

The ruling stems from a London Court of International Arbitration (LCIA) claim initiated by the KRG in December 2021 concerning the Bina Bawi and Miran Production Sharing Contracts (PSCs).

According to the statement released by Genel Energy, the tribunal's Final Award on Costs mandates the payment of the $26.8 million sum plus post-award interest.

The interest will be calculated at a rate of the one-month US Dollar LIBOR (or its replacement, SOFR) plus 2%, compounded monthly, starting from the date of the final award.

Genel Energy noted in its announcement that the awarded amount "is less than the sum of approximately $36 million originally claimed by the KRG." The company stated it had previously disclosed the KRG's initial claim figure.

The award concludes the cost recovery aspect of the arbitration process governed by the LCIA Rules and the UK's Arbitration Act (1996).

https://www.basnews.com/en/babat/879824

[Anthea]

Calls to Resume Kurdistan Oil Exports

ERBIL (Kurdistan 24) – Col. Myles B. Caggins III, spokesperson for the Association of the Petroleum Industry of Kurdistan (APIKUR), emphasized on Monday the urgent need for agreement to resume oil exports from the Kurdistan Region via the Iraq-Turkey pipeline, which has been shut down since March 2023

Speaking to Kurdistan 24, Caggins noted, “We are reporting our annual production numbers through quarterly shareholders' meetings and earnings reports.”

However, he warned that current market conditions are unsustainable. “Oil produced in Iraqi Kurdistan is currently sold locally at around $30 per barrel—less than half the $65 to $70 per barrel it could earn on the international market,” Caggins explained. “Selling oil locally does not maximize revenue for our companies or contribute to Iraq’s overall economic prosperity.”

Before the halt in exports, the Kurdistan Region was sending over 400,000 barrels of oil daily through the Turkish port of Ceyhan. With the pipeline idle, local refineries are the only buyers, converting crude into domestic fuels like gasoline, diesel, and kerosene. While necessary, Caggins emphasized that local demand cannot replace the benefits of global sales.

Caggins said APIKUR member companies remain open to dialogue and are eager to restart exports. “We are ready to meet with both the Kurdistan Regional Government (KRG) and the federal government of Iraq,” he stated. “Several meetings have already taken place, and we welcome the Ministry of Oil’s call for another.”

He stressed that future exports must be backed by clear, enforceable agreements. “We need clarity on how we will be paid. These are complex financial transactions, but not new to the federal government, which has long managed similar arrangements in federal Iraq.”

One ongoing challenge is the appointment of an international consultant to assess production and transportation costs, as stipulated in Article 12 of Iraq’s budget amendment. “APIKUR member companies must be involved in reviewing and approving the consultant’s scope of work,” Caggins noted. “This is a basic expectation for any business subject to an external financial evaluation.”

He also reiterated the need for equal treatment of companies operating in the Kurdistan Region. “Our contracts with the KRG are legal, recognized by London courts of arbitration, and have been upheld by Iraqi courts,” Caggins said. “These agreements must be respected, and production-sharing terms clearly defined.”

Caggins praised efforts by both Kurdistan Region Prime Minister Masrour Barzani and Iraqi Prime Minister Mohammed Shia’ al-Sudani to resolve the issue. “Prime Minister Barzani has actively engaged leaders in Baghdad, Ankara, and Washington. It’s clear that reopening the pipeline is a top economic priority,” he said.

Despite official Iraqi statements indicating that exports would resume imminently, no oil has yet flowed through the pipeline. “For us, written agreements must come first. We cannot risk sending oil without knowing when and how we’ll be paid,” Caggins said.

APIKUR continues to push for constructive dialogue and meaningful outcomes. “We’ve made our position clear: Our companies are ready. It’s time for action,” he concluded.

https://www.kurdistan24.net/en/story/83 ... ugh-turkey

[Anthea]

US Urges Resumption

of KRG Oil Exports

The United States issued its strongest call yet for the resumption of Kurdish oil exports, as State Department Spokesperson Tammy Bruce on Wednesday urged the Iraqi federal government and other parties to restart operations of the Iraq-Turkey Pipeline (ITP), which has remained closed since March 2023

“It is critical that the Government of Iraq and all potential parties agree to restart the Iraq-Turkey Pipeline’s operations,” Bruce told Kurdistan 24, in a statement that marked a clear show of US support for the position of the Association of the Petroleum Industry of Kurdistan (APIKUR).

APIKUR, which represents international oil companies operating in the Kurdistan Region, had recently accused Baghdad of unilaterally changing the terms of existing contracts—effectively blocking the resumption of exports. The group issued a detailed complaint two weeks ago, accusing the federal Oil Ministry of acting in bad faith.

Bruce’s remarks were prompted by a question from Kurdistan 24’s Washington DC bureau chief during a State Department briefing on Tuesday. She took the question and responded the following day via email.

In her written response, Bruce emphasized that Iraq’s delay in reopening the pipeline is harming both regional stability and US economic interests.

“The pipeline’s two-year closure stifles Iraq’s economic development, inhibits the region’s economic stability, and threatens the American energy jobs which this pipeline supports,” she said.

She further stressed that “the Government of Iraq must honor the terms of existing contracts with US companies,” signaling Washington’s backing of APIKUR’s demand for Baghdad to respect prior agreements.

“The United States stands ready to advance US business opportunities in Iraq, if all sides move quickly to resolve the issue and immediately reopen the pipeline,” Bruce concluded. “The ITP plays a critical role in sustaining the energy economy of the Iraqi Kurdistan Region and benefits the American companies that operate there.”

Kurdish oil exports through the ITP have been suspended since an International Chamber of Commerce ruling last year. Despite ongoing discussions, no agreement has yet been reached to resume the flow—delaying billions of dollars in revenue and straining relations between Erbil, Baghdad, and foreign investors.

https://www.basnews.com/en/babat/880329

[Anthea]

KRG, Baghdad Discuss Oil Export

Delegations from both the Kurdistan Regional Government (KRG) and the Iraqi federal government met with international oil companies in Erbil on Sunday to discuss the long-delayed resumption of the Kurdistan Region’s oil exports

Omed Sabah, Head of the Diwan of the Kurdistan Region’s Council of Ministers, confirmed the meeting in a statement, saying the discussions centered on the operations of oil-producing companies and the potential for restarting exports.

“The meeting discussed the activities and operations of the oil producing companies. Both sides discussed the issue of resuming the Region’s oil exports with the oil companies. Furthermore, the views of the oil production companies on this matter were heard,” he said.

The meeting comes after a planned gathering in Baghdad on Saturday between representatives of the Iraqi Oil Ministry, the KRG Ministry of Natural Resources, and the Association of the Petroleum Industry of Kurdistan (APIKUR) was postponed.

Iraqi Oil Minister Hayan Abdul Ghani, speaking at the 9th Sulaimani Forum last week, emphasized the importance of restarting Kurdistan’s oil exports “as soon as possible.”

He added that the exports are a key component of Iraq’s federal budget and that ongoing talks for more than a year have aimed to find a mechanism to resume shipments through the Iraq-Turkey pipeline.

“The resumption of the Kurdistan Region’s oil exports is fundamentally part of Iraq’s budget,” Abdul Ghani stated.

“There is a significant need to resume oil exports, diversify support for Iraqi resources, and improve [the situation] for both governments.”

Oil exports from the Kurdistan Region have been suspended since March 2023, following a ruling by an international arbitration court in Paris that halted exports via Turkey.

Despite several rounds of negotiations, no final agreement has been reached between the KRG and the federal government to restart the flow of oil.

Sunday’s meeting in Erbil marks the latest effort in a series of discussions aimed at breaking the deadlock and restoring a vital source of revenue for both Erbil and Baghdad.

https://www.basnews.com/en/babat/881329

[Anthea]

KRG Reaffirms Commitment to Oil Export

The Kurdistan Government (KRG) Council of Ministers reaffirmed on Wednesday that the KRG has fully met its obligations to resume oil exports and that there are no remaining obstacles from the Region’s side preventing the process

The meeting, chaired by Prime Minister Masrour Barzani and attended by Deputy Prime Minister Qubad Talabani, reviewed the latest developments surrounding oil export negotiations with the federal government.

Acting Minister of Natural Resources Kamal Mohammed Saleh presented a report detailing recent talks with Baghdad and oil companies. He emphasized that the KRG has fulfilled all necessary steps under the First Amendment to Iraq’s Federal General Budget Law, including the deposit of oil revenues into the federal treasury.

The Council of Ministers reiterated its support for ongoing coordination between the KRG Ministry of Natural Resources, the Iraqi Ministry of Oil, SOMO, and oil companies, urging swift resolution of outstanding issues to resume exports and prevent further financial losses to the public treasury.

Oil exports from the Kurdistan Region have been suspended since March 2023 following a ruling by the International Chamber of Commerce in favor of Baghdad, which stated that Turkey had violated a joint agreement by allowing the KRG to export oil independently.

Since then, negotiations have been ongoing to find a federal-regional mechanism that satisfies both constitutional requirements and the financial needs of the Kurdistan Region. The export halt has strained the KRG's budget, delaying public sector salaries and hindering economic development.

In January 2025, the Kurdistan Region's presidency emphasized that the KRG had met all obligations to resume oil exports and was fully prepared to restart them. The suspension, resulting from a Paris-based arbitration court ruling, has led to substantial losses for the Iraqi treasury, estimated at around $15 million. Both Erbil and Baghdad continue to negotiate to reach an agreement that ensures mutual benefit from vital oil revenues.

https://www.basnews.com/en/babat/882335

[Anthea]

Baghdad Illegally Blocking Exports

Kurdistan’s Minister of Natural Resources, Kamal Muhammad Salih, said the federal government continues to obstruct oil exports from the Region in defiance of the constitution, Iraqi laws, and even rulings by the country’s own courts

In a statement released Monday, the Ministry said the Minister made the remarks during separate meetings in Erbil with Atila Tos, Hungary’s Consul General, and Rafael Movsesyan, Armenia’s Consul General.

“The Iraqi federal government, contrary to the constitution, law, and even the decisions of Iraqi courts, has created obstacles to the export of Kurdistan Region’s oil,” the Minister said. “There is no problem with the Region’s oil contracts with the companies, but Iraq is not willing to pay the rights, guarantees, and production costs of the companies.”

According to the Ministry, both diplomats expressed support for efforts to resolve the ongoing disputes between Erbil and Baghdad.

Oil exports from the Kurdistan Region have remained suspended since March 25, 2023, following a ruling by the International Chamber of Commerce in favor of Iraq against Turkey. The decision halted the KRG’s independent oil exports, which had accounted for around 400,000 barrels per day

The suspension has deepened long-standing tensions between Erbil and Baghdad over natural resource management. While the federal government demands all exports be handled through the State Oil Marketing Organization (SOMO), the KRG maintains it has the constitutional right to manage its own resources.

The ongoing impasse has had severe economic consequences for the Kurdistan Region, including delayed salary payments for public employees and rising public discontent.

https://www.basnews.com/en/babat/886609

[Anthea]

Kurdistan-Baghdad Oil Talks Positive Agreement

ERBIL (Kurdistan 24) — Sherwan Dubardani, a member of Iraq's Parliament, announced on Friday that negotiations between a Baghdad delegation and the Kurdistan Regional Government (KRG) resulted in a constructive agreement concerning the export of oil from the Kurdistan Region. Speaking to Kurdistan24, Dubardani provided details about the meeting and the next steps in legislative and financial coordination

“On Thursday, the Baghdad delegation arrived in the Kurdistan Region and began meetings with the Region at 5:00 PM. Both sides reached a very positive outcome and made a good agreement on the issue of oil exports,” Dubardani said.

The parliamentarian noted that follow-up meetings will begin next week between the KRG delegation and oil companies, focusing on the recently amended legislative project that incorporates the so-called “$16 agreement.”

“The Kurdistan Region’s delegation, along with oil companies, will begin meetings next week and will continue to work on the legislative project which was recently amended to include the $16 agreement,” he said.

Dubardani underscored the importance of legal and mutual adherence by both governments:

“As we voted for, the KRG must adhere to the agreement and implement it as law, and Baghdad must also respect this law. Furthermore, the companies that signed contracts with the KRG—those contracts are legal.”

He also addressed the current silence from federal authorities in Baghdad:

“So far, the Baghdad government has not issued any statements, because the KRG is ready for all of them. A financial delegation is also coming to Kurdistan—about 50% of it consists of personnel from the Kurdistan Region’s Finance Ministry—and the Region remains committed.”

Looking ahead, Dubardani stressed the importance of continuity in the engagement between Baghdad and Erbil, especially with elections on the horizon.

“The arrival of this delegation should continue, due to the upcoming elections. Right now, the elections for Iraq’s Council of Representatives are very important, and all Iraqi political parties have prepared themselves.”

He concluded with a pointed critique of Iraq’s broader political discourse:

“Iraqi political parties have done nothing for their constituents and regions, and instead, for political purposes, they repeat the same old rhetoric to the people and other areas of Iraq, saying, ‘The Kurdistan Regional Government is not committed.’”

The recent developments mark a significant moment in the protracted negotiations between Erbil and Baghdad, with implications for regional oil revenue management, legal recognition of energy contracts, and the broader political landscape ahead of national elections.

https://www.kurdistan24.net/en/story/84 ... p-confirms

[Anthea]

Baghdad, Erbil Near Deal to
Resume Kurdistan Oil Exports

Iraqi lawmaker Shwan Mohammed announced on Saturday that a comprehensive agreement between Baghdad and the Kurdistan Regional Government (KRG) is nearing completion, which would restart Kurdistan Region’s oil exports through the State Organization for Marketing of Oil (SOMO) and resolve the ongoing public employee salary crisis

In a statement to local Iraqi media, Mohammed explained that under the new agreement, the KRG’s oil will be exported via SOMO, with the Iraqi Federal Ministry of Finance responsible for paying the operating oil companies directly.

Guarantees will be put in place to ensure smooth implementation without political or administrative obstacles.

“The success of this agreement will have a direct impact on resolving the salary issue and will pave the way for addressing the broader financial disputes between Erbil and Baghdad,” Mohammed noted.

As Iraq approaches elections, political parties are focusing on easing tensions and strengthening economic stability to face domestic and foreign challenges.

This effort comes amid declining oil revenues and mounting international pressure on Baghdad to implement transparent resource management, while Kurdish leaders intensify calls to end what they describe as a policy of “collective punishment” through salary delays.

Oil exports from the Kurdistan Region have been halted since March 25, 2023, following an arbitration ruling by the International Chamber of Commerce, which found Turkey in violation of a 1973 pipeline agreement by allowing independent KRG exports.

As a result, Turkey suspended crude oil flows from the Kurdistan Region through the Kirkuk-Ceyhan pipeline.

Before the halt, the Kurdistan Region exported around 450,000 barrels of oil per day, generating critical revenue to fund government salaries and public services.

The suspension has resulted in estimated revenue losses of over $25 billion for both the KRG and Iraq’s federal budget.

Despite a temporary agreement reached in April 2023 to resume exports under federal oversight, differences over technical and legal frameworks have delayed implementation.

The shutdown has severely strained the KRG’s finances, forcing it to rely on limited domestic revenues and exacerbating salary delays for public sector employees.

In recent months, Baghdad and Erbil have engaged in negotiations to resolve these disputes, including discussions on sharing oil revenue and defining budget transfers.

The emerging agreement involving SOMO is seen as a crucial step toward restoring financial stability and improving relations between the two governments.

https://www.basnews.com/en/babat/887679