• 3 minutes Will Iron-Air batteries REALLY change things?
  • 7 minutes Natural gas mobility for heavy duty trucks
  • 11 minutes NordStream2
  • 5 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 2 hours World’s Biggest Battery In California Overheats, Shuts Down
  • 2 hours Evergrande is going Belly Up.
  • 11 hours Monday 9/13 - "High Natural Gas Prices Today Will Send U.S. Production Soaring Next Year" by Irina Slav
  • 21 hours U.S. Presidential Elections Status - Electoral Votes
  • 15 hours Poland Expands LNG Powered Trucking and Fueling Stations
  • 2 days And now, hybrid electric locomotives...
  • 21 hours Ozone layer destruction driving global warming
  • 1 day The unexpected loss of output from wind turbines compels UK to turn to an alternative; It's not what you think!
  • 2 days The Painful Death of Coal
  • 20 hours The coming Cyber Attack
  • 20 hours Is the Republican Party going to perpetuate lies about the 2020 election and attempt to whitewash what happened on January 6th?
  • 23 hours 'Get A Loan,' Commerce Chief Tells Unpaid Federal Workers
The Next South American Oil Giant

The Next South American Oil Giant

Closely following the developments at…

Is Oil Really Doomed?

Is Oil Really Doomed?

There have been plenty of…

James Burgess

James Burgess

James Burgess studied Business Management at the University of Nottingham. He has worked in property development, chartered surveying, marketing, law, and accounts. He has also…

More Info

Premium Content

Kurds To End Oil Standoff With Baghdad For $1B

Officials from the Kurdistan Regional Government (KRG) in northern Iraq will consider an end to the standoff over unilateral oil exports if the central government in Baghdad guarantees the Kurds US$1 billion in monthly revenues, news agencies report.

The Iraqi Kurds have largely maintained the upper hand in this oil independence struggle since they began exporting oil on their own directly to Turkey, but since then, Baghdad has made several moves to gain more leverage.

The latest move in March saw Baghdad indefinitely halt oil exports from its National Oil Company (NOC) through the northern Kurdish pipeline, depriving the Iraqi Kurds of additional revenue from the NOC’s 150,000 bpd, in order to pressure them to give in on an oil-revenue-sharing deal.

The Iraqi Kurds, however, aren’t likely to give in without putting a high price tag on their capitulation, which for now is set at $1 billion per month, from the Iraqi federal budget. This figure is said to represent 17 percent of the budget, which was the original deal between the Kurds and Baghdad before the latter cut out the former as punishment for exporting oil unilaterally.

The Iraqi Kurds have not delivered any crude to Baghdad for over a year in retribution for the central government’s failure to give the Kurds their share of the federal budget. Related: Russia’s Oil Giants Feel The Crunch But Stay In The Black

The Kurds are not concerned about exporting their oil unilaterally; rather, they are concerned about revenues. Reuters cited Iraqi Kurd officials as saying that it was of no importance where the oil goes first on its way to the market, as long as the Kurds get the same revenues in the end.

By the latest count, the Iraqi Kurds exported over 513,000 barrels directly to Turkey in May, for revenues of just over US$390 million. It’s not enough to pay the debts it owes to its operators, fund the battle against the Islamic State (ISIS) in and around oil-rich Kirkuk and handle its budgetary requirements, while simultaneously gunning for independence.

The latest deal is one of many that have been proposed in recent months.

By James Burgess of Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News