Iraq blocks Kurdistan Region oil exports to stay within OPEC quota, MP claims

ERBIL (Kurdistan 24) – Iraq's obstruction of efforts to resume oil exports from the Kurdistan Region stems from its need to reduce production to comply with its OPEC quota, claimed Sabah Subhi, a member of the Iraqi parliament's oil and gas committee.

Speaking to Kurdistan 24 on Friday, Subhi revealed that the Oil and Gas Committee had proposed to the Iraqi Ministry of Oil to accept 400,000 barrels of oil per day from the Kurdistan Region. This plan involved extending a pipeline from the Kurdistan Region to Kirkuk and then to Basra, but it was deemed unfeasible.

"The Iraqi Ministry of Oil is obstructing all attempts to resume the export of Kurdistan Region oil," Subhi asserted. He explained that Iraq has exceeded its OPEC oil export quota of 3.6 million barrels by 1.4 million barrels, leading to repeated warnings from OPEC.

Crude oil exports from Kurdistan fields and Kirkuk province to Turkey via Ceyhan have been suspended since March 25, 2023, following a ruling by the International Court of Arbitration in Paris that deemed these exports illegal.

Kurdistan Region previously exported 450,000 barrels daily to Turkey, crucial for its financial revenues and paying its employees' salaries in the absence of an oil and gas law regulating oil wealth management in Iraq.

While an interim agreement was reached between Erbil and Baghdad on April 4, 2023, pending the passage of an oil and gas law by the Iraqi parliament, the resumption of exports remains blocked.

Key Points:

 * Iraq's overproduction hinders Kurdistan Region's oil export resumption.

 * Iraqi Oil Ministry accused of blocking efforts.

 * Proposed pipeline extension deemed unfeasible.

 * OPEC has warned Iraq about exceeding its quota.

 * Kurdistan's oil exports remain suspended since March 2023.

 * Interim agreement between Erbil and Baghdad yet to yield results.