 raq Parliament deadlocked over Kurdistan oil budget dispute
Economy
oil
Kurdistan
Iraqi parliament
budget
Article 12
Iraq Parliament deadlocked over Kurdistan oil budget dispute
2025-01-28 10:21
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Shafaq News/ On Tuesday, Iraqi MP Kazem Al-Fayyad expressed concerns regarding the challenges in passing the amendment to the budget law, describing it as "controversial."
Al-Fayyad told Shafaq News that "there is a division within Parliament concerning the passage of the budget law amendment submitted by the Iraqi government. This amendment has become contentious, making its passage in the upcoming sessions this week or next week difficult."
"Opposition to the budget law amendment comes not only from some independent MPs from the central and southern regions but also from major party bloc members. This has complicated the situation, necessitating comprehensive political understanding and agreement to pass the amendment."
On Sunday, January 19, a parliamentary session broke quorum as MPs left the chamber during a vote on a clause in the federal budget law.
Article 12 of the budget bill includes compensation for the Kurdistan Regional Government (KRG) for production and transportation costs related to oil extraction in the Region.
Earlier today, the Parliamentary Finance Committee announced plans to resume meetings in the coming days to discuss amending Article 12. Committee member Hussein Mu’nis told Shafaq News that the amendment pertains to the costs of producing oil in the Region and overseeing its export mechanisms and financial revenues.
Mu’nis explained that "the budget law calculates the cost of extracting a barrel of oil from Kurdistan at $6, while the amendment submitted by the government estimates the cost at $16 per barrel. This could increase government expenditures for extracting 400,000 bpd from the Region's fields, thereby raising the budget deficit."
Previously, Finance Committee member Jamal Kocher anticipated sending the budget tables in February but noted potential delays in passing the budget due to disputes over Article 12.
Kurdistan Democratic Party (KDP) MP Jayai Timor had earlier stated that "the Iraqi government previously calculated the cost of oil extraction at $6 per barrel, which is very low," noting that "foreign companies operating in oil extraction incur costs reaching $26 per barrel."
In June 2023, the Iraqi Parliament approved a three-year general budget for the fiscal years 2023, 2024, and 2025. This budget, the largest in Iraq's history, was designed to provide a comprehensive financial framework for the mentioned years.
The key figures of the budget include an annual expenditure of approximately $153 billion. The Kurdistan Region was allocated 12.6% of the total budget. However, the execution of this budget has faced challenges due to delays in finalizing key provisions and adjusting budget tables. |
Erbil-Baghdad Collaboration Essential for Oil Pipeline Reopening, Says APIKUR Spokesperson
"APIKUR is actively engaged with both the KRG and the central government in Baghdad to restart oil exports, as reopening the Turkey-Iraq oil pipeline is crucial," Caggins stated during a televised interview with Kurdistan24.
55 minutes ago
Col. Myles Caggins Spokesperson for APIKUR. (Photo: Kurdistan 24)Col. Myles Caggins Spokesperson for APIKUR. (Photo: Kurdistan 24)
Kurdistan
Spokesperson for APIKUR
APIKUR
Colonel Myles Caggins
Jan. 28, 2025
ERBIL (Kurdistan24) - Colonel Myles Caggins, Spokesperson for the Association of the Petroleum Industry of Kurdistan (APIKUR), announced on Monday that discussions are ongoing between Erbil and Baghdad to resume oil exports from the Kurdistan Region.
"APIKUR is actively engaged with both the Kurdistan Regional Government (KRG) and the central government in Baghdad to restart oil exports, as reopening the Turkey-Iraq oil pipeline is crucial," Caggins stated during a televised interview with Kurdistan24.
The APIKUR spokesperson noted that they are closely monitoring the budget amendment discussions and are hopeful that the parliamentarians will align with the stance of Iraqi Prime Minister Mohammed Shia al-Sudani on the significance of resuming oil exports from the Kurdistan Region.
"Prior to the halt, the region exported approximately 400,000 barrels per day, and resuming operations would benefit all of Iraq," he remarked.
Caggins also highlighted the longstanding presence and investment of oil companies in the Kurdistan Region, which dates back to 2005, amounting to $10 billion in investments. He concluded by noting the significant contribution of about 20,000 foreign employees in the energy and oil sectors of the region. |
https://x.com/K24English/status/1884195985309720828 |
He is in place for 12 months now , the buyers required this contractually in place.Likewise Resn that deferred the local workforce windfall for 3 years in arrears , all part of the post acquisition transition planning.Fill yer boots .The most flagged takeover in history |
https://x.com/john78846295/status/1884181337105654087 Parliamentary Finance Committee will resume its meetings in the coming days to discuss the paragraph on amending Article 12.'I think we're heading for a vote on Sunday |
Re two hundred and eighty by thirty wide
Ghawar net pay is an ave of 60 m .
Shaikan up to 1000 m and that is just the Jurrassic . I did a post showing Shaikan is likely to be prived bigger that Ghawar in net oil Vol at the end if the day . |
https://www.rudaw.net/english/middleeast/iraq/280120251 interesting bit! The Development Road project is planned from southern Iraq to the Turkish border, connecting the Persian Gulf with Turkey. It aims to enhance Iraq's geopolitical position, boost the economy, and create thousands of job opportunities. The route is expected to link Iraq with the European Union via Turkey."We have included in the design of the development road path lines for transporting oil and gas, in addition to communications to achieve the connection between Asia and Europe, and provide investment opportunities," he affirmed. |
BP ( or any INOC) will not agree to ANY contract that may be subject to legal dispute
I imagine they have made that very clear to the ICG / Sudani.
Any such contract is subject to a risk assessment and then approval by their Legal Dept. |
He was paid the stay bonus, as long as he was in posn and not under notice this January.Hence buyers have him for a minm of his notice period.6/12:months not sure which.Its effectively a sale "completion" bonus.I reckon this starts to get exciting now. |
 In the vast expanse of desert and sand,
Lies Ghawar, a titan of Arabian land,
Stretching two hundred and eighty by thirty wide,
A behemoth where oil reserves reside.
To the north, in the mountains of Kurdistan,
There's Shaikan, another field so grand,
Though smaller in scale, its presence is known,
A giant in its own right, its value has grown.
Ghawar, the pride of Saudi's domain,
A legacy of oil, a global sustain,
Its reserves stretch far beyond sight,
A geological marvel, bathed in sunlight.
Shaikan, in the hills where history breathes,
An echo of Ghawar, in its depth it seethes,
Not as vast, but still a colossus of size,
Its oil wells whisper ancient, hidden lies.
Both fields, like sleeping dragons beneath,
Hold in their depths the black gold we seek,
Ghawar with its sprawling, endless reach,
Shaikan, a testament to Kurdistani beach.
Their magnitude, a story to tell,
Of earth's ancient secrets, of power and wealth,
In Ghawar's colossal, enduring might,
And Shaikan's profound, subterranean light.
Through deserts and mountains, from kingdoms to hills,
Their oil flows like rivers, fulfilling earth's will,
Ghawar, the largest, an empire's crown,
Shaikan, with honor, wears its own renown.
Thus, in the saga of oil, these fields unite,
In size and in silence, in darkness and light,
Two giants of geology, vast and unseen,
Ghawar and Shaikan, in the earth's deep dream. |
Where did you read that |
But GKP did discover Ghawar-2. |
He is in place for 12 months now , the buyers required this contractually in place.Likewise Resn that deferred the local workforce windfall for 3 years in arrears , all part of the post acquisition transition planning.Fill yer boots .The most flagged takeover in history |
Back when I bought GKP prior to 1st oil I read The Prize , It took Gulf 13 years back in the 50s to get sorted with the paper work . I remember thinking that cant happen these days . Lol |
Thought I read it had been kicked down the road until Friday? |
Does anyone know the time of the vote today? |
The Federal Government are starting to come across as being desperate to get this done.
I see that BP's pen is still hovering. |
‘US Support for Peshmerga Forces Continues Unwavering, Says Maj. Gen. Rasheed.’
“The US financial and logistical assistance, including the provision of weapons and other military equipment, is continuing as per the prescheduled plans,” Major General Rasheed revealed.
19 hours ago
Kurdistan Region Peshmerga forces. (Graphic: Designed by Kurdistan24)Kurdistan Region Peshmerga forces. (Graphic: Designed by Kurdistan24)
Kurdistan
US Support
Peshmerga Forces
Kurdistan Region
Jan. 27, 2025
ERBIL (Kurdistan24) – Major General Hoshmand Rasheed, Peshmerga Deputy Commander for Administration and Supply, confirmed to Kurdistan24 on Monday that US support for the Kurdistan Region Peshmerga forces remains steadfast.
“The US financial and logistical assistance, including the provision of weapons and other military equipment, is continuing as per the prescheduled plans,” Major General Rasheed revealed.
He explained that the concerns about the continuation of US financial support is due to the increasing number of Peshmerga forces in the brigades benefiting from US assistance.
Two weeks ago, the Kurdistan Regional Government (KRG) Ministry of Peshmerga announced that financial aid from coalition forces for December 2024 would be distributed to Peshmerga forces after the completion of financial and accounting procedures by the General Directorate of Budget and Programs.
Currently, 37,730 Peshmerga members and officers are receiving assistance through the “MyAccountR21; initiative, a significant step by the KRG in modernizing the ministry's financial processes. |
Anyone.
So has CEO come to the end of his one year extra with the company or is he about to begin it on the 1st of February. Might see things happening before weekend. Who knows.
Gla |
https://www.rudaw.net/english/middleeast/iraq/28012025 ERBIL, Kurdistan Region - Iraqi Foreign Minister Fuad Hussein said that the Kurdistan Regional Government (KRG) is in ongoing meetings with Iraq's finance ministry to discuss budget issues and oil exports, with the two set to meet again on Friday."The federal finance ministry sent a delegation to the Kurdistan Region. The delegation is still there and they will finish in a few days. Our second meeting is on Friday," Hussein said during a conference at the Naram-Sin Foundation for Dialogue on Monday.Erbil and Baghdad have held several meetings to discuss amendments to Iraq's previously approved 2025 budget law and address obstacles to paying the Kurdistan Region's civil servant salaries.During the conference, Hussein told Rudaw's Ziyad Ismail that a KRG delegation met with Iraq's finance ministry at his house to discuss pending salary and oil export issues."We had a good understanding. The [federal] finance ministry wanted some information," he said.The KRG has struggled to pay the salaries of its civil servants on time and in full for a decade due to a financial crisis that further deteriorated after the oil export halt. Erbil is reliant on its local income and federal budget funds.Changes in the law, which include an increase in the amount producing companies make from producing oil in the Kurdistan Region, could lead to the resumption of Kurdish oil exports.In November, the Iraqi government approved a proposal to amend articles from the federal budget to authorize compensation to companies operating in the Kurdistan Region for oil production and transportation costs, setting the rate at $16 per barrel. The proposal has had its first and second reading in the Iraqi legislature but has not been passed yet.The move was welcomed by the KRG and producing oil companies.Hussein said that the federal government and the KRG, along with international oil companies (IOCs), have reached a written agreement. He added that Iraq's Council of Ministers has approved the agreement and sent it to parliament for inclusion in the budget law.According to Hussein, the proposed text would pave the way for the resumption of oil exports if it is incorporated.Oil exports from the Kurdistan Region through the Iraq-Turkey pipeline have been suspended since March 2023 after a Paris-based arbitration court ruled in favor of Baghdad over Ankara, saying the latter had breached a 1973 pipeline agreement by allowing Erbil to export oil independently since 2014.Hussein added that during his meeting with Turkish Foreign Minister Hakan Fidan on Sunday, they discussed the Kurdistan Region's oil exports."I told him that it was related to the budget law. If parliament votes on it, then oil would be exported again," he said. |
https://economy-news.net/content.php?id=52335 Oil Minister Hian Abdul Ghani announced on Monday that the government has submitted a draft law to parliament on the receipt of the region's oil and the payment of $16 per barrel as an advance."There is a project submitted by the government to parliament that is being studied on the receipt of the region's oil and paying $16 per barrel as an advance," Abdul Ghani said in a statement reported by the official news agency and seen by "Economy News".He added, "This continues until the real cost of gas investment from the region's fields that work for oil production are re-examined, and in return the region delivers at least 250 to 300,000 barrels per day with the aim of exporting them through the Iraqi Oil Marketing Company."Regarding oil prices, Abdul Ghani stressed that "oil prices range from 70-80 dollars per barrel, and we hope that they will remain within these levels or increase slightly in order to provide the necessary financial resources to balance the Iraqi state."The official spokesman for the government, the name of Al-Awadi, denied the statement of the spokesman for the Kurdistan Regional Government of Iraq, the claim that the representative of the federal government in the House of Representatives blocked the amendment of the article on the procedures for resuming oil exports from the region in the budget."We affirm the importance of the Kurdistan Regional Government of Iraq's commitment to the provisions of the articles of the Federal Budget Law, including the delivery of financial revenues, both oil and non-oil, to the federal government, in accordance with what is stipulated in the law and the decision of the Federal Court," Al-Awadi said in a statement.He pointed out that "commitment to these procedures is a necessary step to solve the problems related to this file and strengthen cooperation between the two sides, and the federal government hopes from the esteemed House of Representatives to speed up the approval of the amendment according to the text approved by the Council of Ministers, in the interest of Iraq, all of Iraq." |
4 p spread .... |
https://www.kurdistan24.net/en/story/821877 ERBIL (Kurdistan24) Iraqi Foreign Minister Fuad Hussein stated on Monday that Erbil and Baghdad delegations will soon meet again to discuss the Kurdistan Regional Government (KRG) employee's salary issue and the resumption of Kurdistan oil exports. "Today, I talked with the Iraqi Prime Minister Mohammed Shia al-Sudani about making the necessary amendments needed in the parliament to resume Kurdistan Region Oil Export," FM Hussein told a press conference in Baghdad. Hussein revealed that he has discussed the issue of resuming Kurdistan oil exports with his Turkish counterpart Hakan Fidan. He further explained that the Kurdistan Region and the Iraqi Ministry of Finance's delegations will meet on Friday to discuss the KRG employee's salary issue.The ongoing dialogue between Erbil and Baghdad is a critical step toward resolving longstanding financial and administrative disputes that have affected the region's stability and economic prosperity. These discussions are not only pivotal for the immediate concerns regarding salaries and oil exports but also for setting a framework for cooperation and co-existence between the Kurdistan Regional Government and the Federal Government of Iraq. This collaboration is essential for the region's long-term stability and the economic well-being of its people. |
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