Quotes: US MENA   Enter Symbol: NewsLetter: Search: advanced

Iraq files case against Turkey over Kurdish oil exports  Join our daily free Newsletter

MENAFN - AFP - 23/05/2014
No. of Ratings : 0
Add to Mixx!



(MENAFN - AFP) Baghdad launched legal action against Ankara Friday after oil from Iraq's autonomous Kurdish region was exported to international markets without the cental government's consent, potentially worsening already-poor ties between the neighbours.

The sudden decision to call for arbitration by Iraq, which came after shipments began on Thursday evening, is the latest move in a years-long row in which Baghdad has insisted it has the sole right to export Iracaught itqi crude.

The dispute over the exports, which the US has said could further destabilise Iraq, also throws into doubt Prime Minister Nuri al-Maliki's bid for re-election after polls last month, with his campaign expected to hinge on whether or not he can secure Kurdish backing.

The central government's oil ministry said in a statement that it has "filed a request for arbitration against the Republic of Turkey and its state-owned pipeline operator BOTAS... with the International Chamber of Commerce (ICC) in Paris."

"By transporting and storing crude oil from Kurdistan, and by loading that crude oil onto a tanker in Ceyhan, all without the authorisation of the Iraqi Ministry of Oil, Turkey and BOTAS have breached their obligations under the Iraq-Turkey Pipeline Agreement," it said.

The ministry said it was asking the ICC to order Turkey and BOTAS to "cease all unauthorised transport, storage and loading of crude oil," and added it was seeking financial damages of more than 250 million.

Turkish Energy Minister Taner Yildiz told reporters earlier that shipments of oil pumped from the autonomous Kurdish region in northern Iraq and stored in Turkey's Mediterranean port of Ceyhan began on Thursday night.

Yildiz insisted that Iraq would "govern the future sales", but the exports still came in defiance of Baghdad, which insists it has the sole right to develop and export the country's prized natural resources, which account for nearly all government income.

A Turkish official, speaking on condition of anonymity, told AFP that Ankara had not been informed of Iraq's decision to take legal action, while an ICC spokeswoman said she was not allowed to confirm any details of potential cases.

Ties between Iraq and Turkey, which had been on the upswing as recently as 2010, have since dramatically worsened with the ICC case likely to damage fledgling efforts to improve them.

The two countries differ in particular over the Syrian conflict as well as Turkey's dealings with Iraq's Kurdistan region.

Diplomats say the two countries' leaders also have strained personal relations.

- Chilled Ties -

The latest dispute is also expected to further chill ties between Baghdad and Iraqi Kurdish authorities, just weeks after officials hailed an interim goodwill agreement under which Kurdistan would export 100,000 barrels of oil per day via central government-controlled pipelines.

Kurdish authorities based in the northern city of Arbil said Friday that revenue from the sales would be deposited in Turkey's state-owned Halkbank, insisting they had acted transparently.

The Kurdish region would "continue to exert its rights of export and sell oil" but remained committed to negotiate "in good faith" with Baghdad "to reach a comprehensive settlement" on the sharing of energy supplies.

Baghdad and Arbil have long-standing disagreements over a litany of issues, including whether or not Kurdish officials can sign deals with foreign oil companies without the central government's consent.

They are also at loggerheads over a swathe of disputed oil-rich territory.

Washington warned that the oil export move could destabilise Iraq, with State Department spokeswoman Jen Psaki telling reporters that the US does not "support exports without the appropriate approval of the federal Iraqi government, and certainly we do have concerns about the impact of those continuing."

"Iraq is facing a difficult situation," she said.

"We've been clear that it's important for all sides to take actions to help the country pull together and avoid actions that might further exacerbate divisions and tensions."

The tensions come as Maliki looks to secure a third term in power after April 30 elections in which his bloc emerged with by far the most seats in parliament, though well short of a majority.

The incumbent premier is likely to need some Kurdish support if he is to secure the seats necessary to win re-election.

Mete Goknel, an analyst and a former BOTAS director, said that from Ankara's perspective, "Iraqi oil is the best option for Turkey because it is a cheaper and more stable source of energy."


 






  MENA News Headlines
 Aug 21 2014 - AnastasiaDate Shares Some Truly Inspiring Long Distance Love Stories of MembersMENAFN Press
(MENAFN Press) AnastasiaDate shares more long–distance real life love stories of their members. By Ana Mauer AnastasiaDate the leading online international dating portal recently shared more long ...

 Aug 21 2014 - The Kitchness Stainless Steel BBQ Basting Brush Is Released For Sale To The General Public On Amazon.comMENAFN Press
(MENAFN Press) Amazon appointed as exclusive Worldwide Distributor for this second-generation BBQ Brush.ARECIBO PUERTO RICO August 20 2014. The long awaited release of the Kitchness Stainless ...

 Aug 21 2014 - AsianDate Offers Valuable Tips on How to Avoid Online Dating ScamsMENAFN Press
(MENAFN Press) AsianDate shares useful tips with members on how to avoid dating scams. By Jia Li Asian Date the trusted and highly established Asia-specific online dating service has shared some ...

 Aug 21 2014 - Experts Find Tinting Your Homes Windows Lowers Energy Consumption ConsiderablyMENAFN Press
(MENAFN Press) With growing global concerns people are now encouraged to conserve energy and cut back on the energy consumption to preserve the earth's resources for future generations. Among the ...

 Aug 21 2014 - More South Floridians are Keeping Their Automobiles LongerMENAFN Press
(MENAFN Press) A new car is a major investment that people like to use for as long as the vehicle allows them to but when a car is scratched smashed or scraped in from the corner of the bumper the ...

 Aug 21 2014 - flipb Software Announces Pre-designed TemplatesMENAFN Press
(MENAFN Press) flipb Software a leading provider of digital publishing software announces the recent release of predesigned templates to streamline the PDF to flipbook conversion process.San Jose CA ...

 Aug 21 2014 - Small Business Trends Quotes Joshua B Lee of Stand Out AuthorityMENAFN Press
(MENAFN Press) Joshua B Lee co-founder of Stand Out Authority was just quoted in a story on Small Business Trends publication. The article is about things not to do when pitching investors and ...

 Aug 21 2014 - Clogged Grease Traps can Cause Health Problems in Miami RestaurantsMENAFN Press
(MENAFN Press) Restaurants and Eateries have to abide by strict health and hygiene rules and regulation which require them to maintain a specific level of sanitation to ensure that the people who ...

 Aug 21 2014 - The Dental Health Center Joins Smiles Dental Now Smiles Dental RoseburgMENAFN Press
(MENAFN Press) The Dental Health Center a Roseburg OR dentist recently joined Smiles Dental a regionally-focused dental group in order to continue to provide comfortable high-quality dental services ...

 Aug 21 2014 - Online Business Franchise Opportunity Vs Affiliate ProgramMENAFN Press
(MENAFN Press) Buy an online internet business franchise opportunity. Licensees only need a cell phone laptop and internet connection. Unlimited earning potential with an online franchise business ...

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

IPO News
Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices

US Markets Details

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
Investment Game
Economic Calendar
Financial Glossary

My MENAFN
Portfolio Tracker

Voting

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


 
© 2000 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help