The British “OilPrice” website, which specializes in energy news, reported on Monday that Turkey is trying to reach a settlement between Erbil and Baghdad, to share the oil revenues that can be exported from the Kurdistan Region.
The federal government stopped crude oil exports in Kurdistan on March 25, after a court ruling from the International Chamber of Commerce in Paris in favor of Iraq against Turkey in a dispute over crude flows from the region.
The British website, in a report translated by Shafaq News Agency, quoted the American “Bloomberg” website, that “Turkish officials consider that the possible deal may help resume the operation of the pipeline that transports crude oil from Kurdistan to the Turkish port of Ceyhan.”
The report indicated that “Iraq considers that Turkey has no right to allow Kurdish oil exports through the Iraqi-Turkish pipeline and the Turkish port of Ceyhan without the approval of the federal government in Baghdad, and according to a court decision, Turkey must pay compensation to Iraq in the amount of $1.5 billion. “.
The report stated that “the cessation of oil flows from northern Iraq and the Kurdistan Region through Ceyhan forced companies to reduce or suspend production due to the limited capacity available in storage tanks,” noting that this led to an increase in oil prices for a period of time.
The report pointed out that “Iraq, which is the second largest producer in the “OPEC” organization after Saudi Arabia, does not currently export oil except through the southern oil export terminals.
He added, “An estimated amount of 450,000 barrels of daily exports from the northern fields and from Kurdistan is still suspended due to the dispute over who has the right to allow Kurdish exports.” The report continued, “Since that time, attempts have continued to reach a final agreement and reactivate the pipeline, but they have not achieved any specific results. He added that Turkey considers that the crisis is an internal Iraqi matter that Baghdad and Erbil must settle.”