UN welcomes Erbil-Baghdad deal to resume Kurdish oil export

Many others welcomed the development in the relations between Erbil and  Baghdad after almost a decade of disputes over the management of the oil sector. 
Kurdistan Region Prime Minister Masrour Barzani (standing/left) is pictured next to Iraqi Prime Minister Mohammed Shia' Al-Sudani (standing/right) as Kurdish and Iraqi officials sign a deal to resume oil export, April 4, 2023. (Photo: KRG)
Kurdistan Region Prime Minister Masrour Barzani (standing/left) is pictured next to Iraqi Prime Minister Mohammed Shia' Al-Sudani (standing/right) as Kurdish and Iraqi officials sign a deal to resume oil export, April 4, 2023. (Photo: KRG)

ERBIL (Kurdistan 24) – The United Nations on Wednesday welcomed the new agreement between the Kurdistan Regional Government (KRG) and the federal government to resume the Kurdish oil export following an 11-day halt.

Prime Minister Masrour Barzani visited Baghdad on Tuesday and signed a new deal that would temporarily allow the Kurdish region to export its oil to Turkey’s Ceyhan port. It had been halted after Iraq claimed victory in a legal challenge against Turkey at the Paris-based International Court of Arbitration.

Welcoming the new deal, the United Nations Assistance Mission in Iraq said in a tweet on Wednesday morning that the new agreement is “an important step that paves the way for an agreement on an oil and gas law, strengthens national unity and boosts Iraq's economic prospects to serve all Iraqis.”

Many others welcomed the development in the relations between Erbil and  Baghdad after almost a decade of disputes over the management of the oil sector. 

“We can embark on a new era of trust and cooperation,” Prime Minister Masrour Barzani said on Tuesday.

Barzani and Iraqi Prime Minister Mohammed Shia’ Al-Sudani held a joint news conference following the signing ceremony of the deal in the Iraqi capital on Tuesday.

Per the new deal, the Iraqi state-owned marketing company, SOMO, will market and export 400,000 bpd of Kurdish crude oil at market prices.

The revenue from Kurdish oil sales will be deposited in a Central Bank of Iraq (CBI) account owned by the Kurdistan Regional Government (KRG) and monitored by Baghdad, according to the agreement. 

The agreement will be in effect until a final hydrocarbon law is enacted. At the press conference on Tuesday, both Premiers declared that the principles of the temporary oil agreement would be reflected in a federal hydrocarbon law in the future.