• 2 minutes U.S. Presidential Elections Status - Electoral Votes
  • 5 minutes “Cushing Oil Inventories Are Soaring Again” By Tsvetana Paraskova
  • 7 minutes United States LNG Exports Reach Third Place
  • 2 hours https://www.prageru.com/video/whats-wrong-with-wind-and-solar/
  • 1 hour The World Economic Forum & Davos - Setting the agenda on fossil fuels, global regulations, etc.
  • 2 hours Here it is, the actual Complaint filed by Dominion Voting Machines against Sydney Powell
  • 2 days Pollster Frank Luntz released a poll today showing 90% of those that voted for Trump in November would vote for him again.
  • 3 hours JACK MA versus Xi Jinping
  • 2 days Do Republicans like Liz Cheney, Adam Kinzinger, Mitt Romney and now McConnell think voting for Impeachment can save the party ? Without Trump base what is the Republican constituency ? It's over.
  • 22 hours Tonight Twitter took down Trump's personal account permanently. Trump responded on the POTUS account.
  • 1 day A Message from President Donald J. Trump - 5 minutes from The White House directly
  • 2 hours Researchers Are Harvesting Precious Metals From Industrial Waste
  • 2 days Minerals, Mining and Industrial Ecology
  • 2 days a In 2020, we produced and delivered half a million cars.
  • 2 days Trump Supporters Just Handed a Huge Propaganda Victory to China
  • 2 days ICE Engines Hear to Stay Regardless of War Against
Has Big Oil Turned Its Back On Alaska?

Has Big Oil Turned Its Back On Alaska?

Alaska recently attempted to auction…

Iraqi Kurdistan To Defer Payments To Oil Firms As Prices Crash

The semi-autonomous region of Kurdistan in Iraq will defer payments to oil companies operating in the region for the oil sales they had made between November 2019 and February 2020, one of those companies, London-listed Genel Energy plc said on Friday, as Iraq and the Kurdistan region are struggling to meet their obligations after the oil price crash.  

Genel Energy, which has interests in three producing fields in the Kurdistan Region – Taq Taq, Tawke, and Peshkabir – has received payment for the oil sales in March 2020, the company said today. Yet, the Kurdistan Regional Government (KRG) had proposed to Genel Energy to defer the payments due for the period between November last year and February this year, interest-free, for at least nine months.

“Should the oil price recover to c.$50/bbl, a payment programme to recover the deferred invoices will be put in place,” Genel Energy said.

“Genel welcomes the KRG’s approach to establish a framework that provides clarity and predictability for overdue and future payments, and the commitment to full repayment of deferred invoices as the oil price recovers,” the company added.

According to RBC analysts, cited by Reuters, the deferred payments are worth a total of around $300 million, of which another company operating in Kurdistan, DNO, is entitled to three-quarters of those payments. Genel will get the rest.

Iraq and Kurdistan are struggling to pay the companies extracting their oil as crude prices have crashed by 60 percent since the beginning of the year, crippling oil revenues that are vital for both Iraq and the Kurdistan region.

Iraq, which relies on oil revenues for 95 percent of its budgetary income, is one of the least diversified economies in the Middle East. The federal government saw its revenues cut nearly in half in March when oil prices collapsed, even though OPEC’s second-largest producer exported more barrels of crude last month than it did in February. 

Kurdistan is included in Iraq’s commitment to reduce oil production as part of the new OPEC+ deal, Iraqi Oil Minister Thamer al-Ghadhban said earlier this week. Iraq was the biggest cheater in previous OPEC+ pacts.  

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News