Details of an agreement between Baghdad and Erbil to resume the region’s oil exports revealed
Details of an agreement between Baghdad and Erbil to resume the region’s oil exports revealed
2025-01-05
The Parliamentary Oil and Energy Committee revealed, on Saturday, the details of an agreement between Baghdad and Erbil to resume exporting oil extracted from the fields of the Kurdistan Region of Iraq.
Committee member Nahro Mahmoud said in a press interview that “an agreement took place between the government delegation in the federal government and the Kurdistan Regional Government of Iraq,” indicating that “the main dispute was over the cost of extracting and transporting the oil produced in the region and then exporting it.”
He added, “The agreement stipulates amending the three-year budget law and allocating $16 as a temporary cost until one of the international consulting companies in this field is hired and given a period of 60 days.”
He pointed out that “this file will be retroactive from the date of the Kurdistan Regional Government’s delivery of oil to the federal government, after the vote on amending the budget law.”
He pointed out that, “When voting on amending the budget, the region’s oil exports will resume through SOMO based on the decisions of the Federal Court, and then the consulting company will determine the cost of production and export in the future. For example, if the cost set by the company is $20, $4 will be disbursed retroactively, and if it is less than $16, it will be deducted in the future.”
He pointed out that, “This agreement currently exists between the federal government and the Kurdistan Regional Government, and we are waiting for the vote on amending the budget, so that the agreement becomes official.”
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