KRG oil exports revenue decreases in August

ERBIL, Kurdistan Region (Kurdistan24) – The Kurdistan Regional Government’s (KRG) Ministry of Natural Resources (MNR) released the month of August’s oil production and revenue report on Monday.

The KRG exported 12,763,566 barrels of crude oil in total during the month of August, an average of 411,727 barrels a day, generating $413.9 million for the sold crude oil, the MNR report explained.

According to the MNR, the KRG sold its crude oil with the average of $32.44 per barrel.

“The KRG allocated $60 million to the main oil producers in the Kurdistan Region, according to their PSC entitlements; $90 million were retained by buyers against past prepayments, and additional $23 million to minor producers and Kirkuk petrodollar,” read the report.

The MNR concluded that “The net income received of $349.9 million, plus other income generated locally by MNR, was used to fund August salaries of KRG employees.”

Iraqi government has refused to pay the Kurdistan Regions' budget since early 2014 due to oil disputes.

The Region faces financial crisis due to the decline in international oil prices, war with the Islamic State (IS) and hosting nearly 1.8 million refugees and Internally Displaced Persons (IDPs).

According to MNR’s July report, the KRG exported 14,176,761 barrels of crude oil in total, an average of 457,314 barrels per day.

The KRG revenues from the oil sale through the Kurdistan pipeline network to the port of Ceyhan in Turkey was $461 million in which $25 million was allocated to the main oil producer in the Kurdistan Region, $63 million retained by buyers against past prepayments and $18 allocated to Kirkuk petro-dollar.

The total net income received in July by the KRG, including $35 million new payment against the future lifting of crude oil, was $389.7 million, the MNR report explained.

Editing by Ava Homa