APIKUR Spokesperson Calls for Swift Accountability & Clear Payment Structure

By Ahora Qadi

ERBIL (Kurdistan24) – Amid ongoing disruptions in oil exports from the Kurdistan Region and a recent attack on a private oil facility, Col. Myles B. Caggins III, spokesperson for the Association of the Petroleum Industry of Kurdistan (APIKUR), reaffirmed the consortium’s commitment to Iraq but stressed the need for protection, transparency, and swift action by the Iraqi and Kurdish authorities.

Speaking in an exclusive interview with Kurdistan 24, Col. Caggins denounced the recent assault on a private oil production facility, calling for immediate accountability. “We want the perpetrators to be caught. And as the government of Iraq has said, we want them to be punished swiftly and severely,” he stated. He emphasized that APIKUR member companies operate as private entities, and it is the responsibility of the Iraqi federal and Kurdistan Regional Governments (KRG) to ensure their safety.

Trust in Iraqi Investigative Process, but Security Concerns Persist

Referring to statements made by Iraqi Prime Minister Mohammed Shia’ al-Sudani, Caggins noted, “We trust that he will have his team do a quick and detailed investigation.” He added that the unique nature of Iraq's security environment often results in contradictions: “On one day, you can have an attack in the morning and a deal signed in the afternoon.”

He dismissed any suggestion that the Iraqi government was behind the attack but warned of destabilizing actors: “Some group is doing evil while there are arrangements for new oil deals that are happening between HKN and the central federal government of Iraq.”

Risk Assessment and Continued Investment Amid Political Volatility

APIKUR, comprising eight member companies including HKN, has collectively invested over $10 billion in the Kurdistan Region since February 2005—at the height of Iraq’s civil war. “Our companies have remained committed…through the threats of ISIS,” Caggins said, while acknowledging that each company must independently assess risks daily.

He cautioned that attacks like the recent one are “dangerous and disruptive,” which may prompt companies to temporarily halt operations while reassessing their security posture. Still, he stressed: “There’s risk and then there’s also reward.”

Stalled Exports and Financial Transparency: APIKUR’s Demands

The prolonged closure of the Iraq–Turkey pipeline, now over two years, has cost all stakeholders an estimated $1 billion per month. Caggins revealed that on July 12, APIKUR met with KRG and federal officials to present conditions for resuming exports. Chief among them is a transparent payment mechanism that addresses outstanding dues.

“We need to have transparency for how we will receive payments,” he said, advocating for either direct cash or in-kind payments via barrels of oil, facilitated by SOMO. “We want paper. We want signatures. We want stamps,” Caggins asserted, underlining the need for contractual guarantees.

APIKUR has also proposed an escrow system through an international bank independent of Iraq’s financial institutions to secure payments.

International Price Advantage and Revenue Potential

Caggins emphasized the economic urgency of restoring international sales: “The oil that is sold on the international market is around $70 per barrel, and the oil that is sold locally is only about $30.” He underscored that resumed exports would generate more state revenue, enabling Baghdad to address salary arrears and invest in infrastructure.

“We believe that our business of producing and selling oil should not be caught into the budget disputes between Erbil and Baghdad,” he added.

Pipeline Reopening: A Test of Political Will

Caggins highlighted recent Iraqi and Kurdish statements as signs of progress. Prime Minister Sudani, in a recent meeting with the US embassy and HKN representatives, expressed renewed intent to reopen the Iraq–Turkey pipeline. “We have seen many, many statements. Now we want to see proposals for written agreements,” said Caggins.

He urged all parties to “remain at the table” and finalize a solution that benefits all Iraqis. APIKUR, he added, is optimistic that a resolution may come “in the coming weeks.”

Cooperation With International Stakeholders and Consultant Oversight

APIKUR member companies have engaged with the US and British governments, pressing for a pipeline reopening. “We want to attract more foreign investors,” said Caggins, who affirmed that once agreements are signed, exports can resume within days.

APIKUR supports the involvement of an independent consultant to audit production and costs. “Our companies will fully cooperate... we insist that the calculations are made with the sanctity of our contracts,” he said, noting that Iraq’s federal courts and Ministry of Oil have affirmed the legitimacy of these contracts.

Accepting Article 12: The Path to Implementation

According to Caggins, APIKUR member companies accept Article 12 of Iraq’s federal budget law and have submitted oil export principles accordingly. The group awaits written contracts to activate implementation. “Production is different at each field… What’s important is that our companies agree and accept the budget law,” he explained.

Investment Freeze and Future Outlook

Since the pipeline's shutdown, companies have had to pause $400 million in planned investments. Once operational, each company will reevaluate new ventures, including drilling and increasing capacity. Caggins stressed that APIKUR supports Iraq’s goal of increasing exports from 4 million to 6 million barrels per day within three years.

“We want to increase the amount of oil that our companies are able to produce… and export that oil to international markets,” he said.

Resolve, Cooperation, and Economic Recovery

Caggins concluded with a call for unity and urgency: “The government’s actions in the past week… have shown a new level of seriousness.” He said elected officials now recognize the need to resume exports to fund salaries and public services. “And if you have money to pay, you need to make more money, and a good way to do that is sell oil internationally.”