Quotes: MENA   Enter Symbol: NewsLetter: Search: advanced

Kurds offer to export 100,000 bpd oil to resolve 'impasse' with Iraq   Join our daily free Newsletter

MENAFN - Arab Times - 23/03/2014
No. of Ratings : 0
Add to Mixx!



(MENAFN - Arab Times) Iraq's autonomous Kurdish region pledged Thursday to export 100,000 barrels of oil per day through central government-controlled pipelines in a bid to resolve an impasse with Baghdad ahead of elections. The Kurds and the government are locked in a row over energy exports, in which Baghdad has choked off funds to the northern region, draining its reserves, as the two sides spar over a national budget that would penalise the Kurds for failing to meet export targets as well as other issues tied to energy sector regulation. As a "goodwill gesture," the Kurdistan regional government said on its website it "has offered to make a contribution to Iraq oil pipeline exports to give the negotiations the maximum chance of success.



The KRG contribution will be 100,000 barrels per day from next month onwards, the statement said, adding that exports will continue "while the negotiations are proceeding in a positive direction." It added that the KRG has not set any preconditions. Earlier this year, Arbil shipped more than one million barrels of crude directly to Turkey without Baghdad's consent, although the oil has not yet been sold on international markets. The decision by Kurdish authorities was the latest in a years-long row between Baghdad and Arbil over energy, and spurred the central government to partly cut off funding to the three-province region



Baghdad also complains that the Kurds do not meet export targets set by the central government but still demand their full budget allotment. The decline in funding from Baghdad has forced Arbil to delay paying some government salaries. Baghdad argues that all oil sales must be overseen by it, and regards any independent exports as tantamount to smuggling. Kurdistan, which enjoys a high level of autonomy from Baghdad and has its own security forces, government and flag, has also drawn Baghdad's ire for unilaterally signing contracts with foreign energy firms. But the two sides appeared to be agreeing on the broad outlines for a permanent deal, according to a senior US official



Such a deal would involve a high committee of representatives from the national oil ministry, the Kurdish region and other major oil producing areas to regulate the hydrocarbons sector and the automation of payments from Baghdad to Arbil. "And then Baghdad wants to see... that the Kurds will continue producing and exporting, and contributing revenues to the national budget base to the extent of their technical capacity... without political interference," said the official, who spoke on condition of anonymity

The official acknowledged that the third point in particular remained "tricky.



"Both sides have long-term grievances and complaints about what is owed and what is not owed," the official said. "That's why it was very hard even just to get an initial step like this done." "It remains extremely extremely difficult. The political scene is super charged as we head into elections and... all the other challenges the country is facing." In addition to disputes over natural resources, the long-standing ambition of Kurdish leaders to incorporate a swathe of territory stretching from Iran to Syria into their region, against Baghdad's strong opposition, is another major point of contention. Diplomats and officials say the multitude of disputes are among the biggest long-term threats to Iraq's stability




 


Arab Times




  MENA News Headlines
 Jan 25 2015 - Oman's Suez subsidiary signs USD37m landfill contractMENAFN
(MENAFN) Suez Environment via its local subsidiary Sita Al Basheer has won a contract to design, build and operate the expansion of the landfill site for five years. The total amount of the contract ...

 Jan 25 2015 - Saudi- Kingdoms economy expected to expand 3.22 this yearArab News
(MENAFN - Arab News) DUBAI: Cheap oil will slow growth in most Gulf Arab economies this year but heavy spending by governments and healthy private sector activity will prevent any serious slump a ...

 Jan 25 2015 - Egypt awards USD112.04m contract for rail systemMENAFN
(MENAFN) Egyptian National Railways (ENR) said that it has awarded Alstom a USD112.04 million contract for the supplying of signaling equipment for the Beni Suef-Asyut line in Egypt, as well as its ...

 Jan 25 2015 - UAE's inflation hits 6-year high in DecemberMENAFN
(MENAFN) According to the figures released by the United Arab Emirates National Bureau of Statistics, the increase by more than 5 percent in the housing and utility costs led the UAE's inflation rate ...

 Jan 25 2015 - Dubai's Drake & Scull unit wins USD49m contractMENAFN
(MENAFN) Dubai's Drake & Scull International (DSI) said that one of its subsidies won a USD49 million engineering contract in the emirate, Gulf Business reported.Under the signed contract, the ...

 Jan 25 2015 - Dubai's Deyaar net profit down 43 percent in Q4MENAFN
(MENNAFN) Dubai's Deyaar Development said that it has registered a decline by 43 percent in its net profit during the October-December period of 2014, Gulf Business reported.During the fourth quarter ...

 Jan 25 2015 - Renault's GCC sales up 44 percent in 2014MENAFN
(MENAFN) Renault announced that it has registered a 44 percent increase in its sales within the region during 2014, which led by Dubai resulted in the manufacturer selling 23.626 vehicles, Emirates ...

 Jan 25 2015 - Sharjah firm to build solar power plantMENAFN
(MENAFN) Bee'ah, a Sharjah-based waste management company, announced that it is planning to build a solar power plant in the emirate with a capacity to generate more than 20 megawatts, Emirates 24/7 ...

 Jan 25 2015 - Bahraini JBG invest USD2.44m on expansion in GCCMENAFN
(MENAFN) Bahrain-based Jawad Business Group (JBG) announced that it was planning to expand its business in the UAE and the GCC by opening 10 new stores this year, with an investment of over USD2.44 ...

 Jan 25 2015 - Dubai Arabtec wins USD152m contractsMENAFN
(MENAFN) Dubai's Arabtec Holding announced that it has won two contracts in Abu Dhabi, through its Target Engineering unit, with the contracts having a combined value of USD152.5 million, Emirates ...

more...


 






Google

 
 

Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  
 

Middle East North Africa - Financial Network
Arabic MENAFN

Main News
News By Industry
News By Country

Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices

Commodoties

Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks
 

Algeria 
Bahrain 
Egypt 
Iraq
Jordan 
Kuwait 
Lebanon
Morocco 
Oman 
Palestine
Qatar 
Saudi Arabia 
Syria
Tunisia 
UAE 
Yemen

Weather
Economic Calendar
Financial Glossary


Financial Calculators

RSS Feeds [XML]

Corporate Monitor

Events

Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters


 
© 2014 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help