PM Al-Sudani's nod needed for Kurdish oil export resumption
Shafaq News/ The resumption of Kurdish oil exports through the Turkish Ceyhan pipeline remains stalled due to the need for approval from Iraqi Prime Minister Mohammed Shia Al-Sudani, the Kurdistan Regional Government (KRG) negotiating delegation announced on Saturday.
Reaffirming its commitment to implementing the First Amendment to the Federal Budget Law, the KRG underscored its readiness to export oil produced in the Kurdistan Region through the State Organization for Marketing of Oil (SOMO). However, during a joint meeting with the Iraqi Oil Ministry delegation on February 18, 2025, in Erbil, both sides confirmed that before exports can resume, an agreement must be reached on the quantities allocated for domestic consumption, ensuring alignment with Iraq’s national distribution framework.
The federal delegation clarified that formal approval from the Prime Minister is necessary. Furthermore, resuming exports requires a well-defined mechanism for compensating production and transportation companies, under budget law provisions and as outlined in the meeting minutes with the federal Oil Ministry delegation.
The KRG delegation also noted that the federal side emphasized the jurisdiction of the Iraqi Ministry of Finance in this matter, necessitating further discussions with the ministry.
Highlighting the urgency of the situation, the delegation urged the federal government to expedite the resolution of these outstanding issues and secure the necessary approvals. The KRG reiterated the critical need to resume oil exports through SOMO promptly, with revenues directed to the federal treasury to bolster national income for the greater public good.
Meanwhile, Reuters reported, on Friday, that mounting pressure from the US administration played a pivotal role in the Iraqi Oil Minister’s recent announcement that Kurdish oil exports would resume next week. These exports had been halted in March 2023 following an international arbitration ruling that ordered Ankara to compensate Baghdad for breaching a 1973 pipeline agreement. The ruling held Turkiye accountable for permitting oil exports from the Kurdistan Regional Government without Iraq’s consent.
