APIKUR renews call for tripartite talks to resume KRG oil exports
This renewed call from APIKUR coincides with an exclusive Al-Arabiya and Al-Hadath interview with KRG PM Masrour Barzani, addressing the suspension of oil exports, and the substantial economic losses incurred, exceeding $19 billion.
ERBIL (Kurdistan24) – The Association of the Petroleum Industry of Kurdistan (APIKUR) has reiterated its appeal for the resumption of tripartite negotiations between Erbil, Baghdad, and oil investment companies.
The aim is to swiftly address outstanding issues and restart the Kurdistan Region's oil exports through the Iraq-Turkey pipeline.
APIKUR urged the Iraqi Federal Government to collaborate with the Kurdistan Regional Government (KRG) and international oil companies to find a solution that benefits all parties.
In light of recent encouraging statements from both KRG and Iraqi government officials, APIKUR proposes a tripartite meeting to facilitate discussions and expedite the resumption of exports.
KRG Prime Minister: “If there is political will in Baghdad, the solution is simple."
This renewed call from APIKUR coincides with an exclusive Al-Arabiya and Al-Hadath interview with KRG Prime Minister Masrour Barzani. Addressing the suspension of oil exports, Barzani highlighted the substantial economic losses incurred, exceeding $19 billion for the Iraqi economy.
Read More: PM Barzani expressed his commitment to strengthening Erbil-Baghdad relations
Barzani expressed optimism for a resolution, stating, "If there is political will in Baghdad, the solution is simple." He stressed the benefits of KRG oil exports for all Iraqis and emphasized the need to acknowledge the varying production costs across different regions in the budget.
“The cessation of oil exports from the Kurdistan Region has caused a loss of more than $19 billion," Barzani stated, noting the disproportionate impact on the Kurdistan Region due to the federal government's lack of compensation. He emphasized the urgent need for a resolution to mitigate further damage.
Key Issues: Production Costs and Investment Recovery
Barzani identified two primary issues hindering progress: the actual cost of oil extraction and the recovery of investments made by foreign companies.
He highlighted the diversity of oil fields and extraction challenges in the Kurdistan Region, necessitating a differentiated approach to production costs in the budget.
OPEC Urges Resumption of Exports
In a significant development, OPEC officially called on Iraqi Oil Minister Hayyan Abdul Ghani in late August to allow the Kurdistan Region to export 200,000 barrels of oil per day.
Read More: OPEC urges Iraq to resume Kurdistan Region's oil exports amid production dispute
This aligns with estimates suggesting that the suspension of exports since March 2023 has caused annual revenue losses of 60% for oil companies and resulted in hundreds of job losses.
The current stalemate underscores the urgent need for renewed dialogue and cooperation to resolve the oil export impasse.
APIKUR's call for tripartite talks represents a crucial step towards achieving a mutually beneficial solution that safeguards the interests of all stakeholders and contributes to the economic well-being of both the Kurdistan Region and Iraq as a whole.
