APIKUR welcomes US support for Kurdistan Region oil exports
The prolonged closure of the pipeline since March 2023 has significantly impacted the Kurdistan Region’s economy, depriving it of a key revenue source and hampering international trade.
ERBIL (Kurdistan24) – The Association of the Petroleum Industry of Kurdistan (APIKUR) on Thursday in a statement welcomed US Secretary of State Marco Rubio’s efforts to facilitate the resumption of oil exports from the Kurdistan Region. Rubio reaffirmed US support for restarting exports in a call with Iraqi Prime Minister Mohammed Shia al-Sudani on Feb. 25, emphasizing the need to reopen the Iraq-Turkey Pipeline and uphold contractual terms for US companies operating in Iraq.
The prolonged closure of the pipeline since March 2023 has significantly impacted the Kurdistan Region’s economy, depriving it of a key revenue source and hampering international trade. The shutdown has resulted in an estimated loss of $27 billion in revenues for the Kurdistan Region, Iraq, and APIKUR member companies, while also creating market uncertainty and affecting regional stability.
APIKUR noted that recent statements from senior officials in Baghdad and Erbil suggest that oil exports could resume imminently. The association reaffirmed that its member companies are prepared to restart exports immediately once formal agreements are established to ensure payments for past and future exports are in line with existing contractual and commercial terms. However, APIKUR stated that no outreach had yet been made to its member companies regarding such agreements.
The legal standing of APIKUR’s contracts with the Kurdistan Regional Government (KRG) was recently upheld by Iraqi appellate courts. Additionally, a key amendment to Iraq’s 2023-2025 budget law has provided a legal and political framework for resolving the dispute and securing agreements to resume exports.
APIKUR is committed to promoting the Kurdistan Region as an attractive destination for international oil and gas companies, service providers, and investors. The association advocates for the common interests of its members, serves as a unified voice in industry-related matters, and provides a platform for sharing public industry information and best practices.