Kurdistan Regional Government (KRG) has resumed crude oil exports
After more than two and a half years of suspension, the export of Kurdistan Regional Government (KRG) crude oil from the Peshawar oil field to the Turkish World Port resumed at 6:50 am today.
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After several meetings between the two ministries of natural resources and the Federal Ministry of Oil, a tripartite agreement was finally reached between the two ministries and foreign oil investment companies, to export oil through the Iraqi Oil Marketing Company (SOMO).
Masrour Barzani: Kurdistan Regional Government (KRG) fields have been re-connected to the world oil market
"The agreement between the Kurdistan Region and oil producing companies with the Iraqi Federal Oil Ministry and SOMO has been the result of the hard work and efforts of all teams and delegations. This step has reconnected the Kurdistan Region fields to the world oil market.
Sudani: We have reached a historic agreement
Iraqi Prime Minister Mohammed Shia Sudani said Thursday that the Federal Oil Ministry will receive crude oil produced in the Kurdistan Region and export it through the Iraq-Turkey pipeline.
"Oil exports will ensure a fair distribution of wealth and diversify export sources," Sudani said.
"The agreement will encourage investment," he wrote.
SOMO Director: Europe needs Kurdistan oil to replace Russian oil
Ali Nizar, Director General of SOMO, told a news conference on Friday evening that the negotiations took 30 months to reach an agreement. The Kurdistan Region is currently delivering about 240,000 barrels of oil per day to SOMO, but 50,000 barrels per day It will be reused for the domestic needs of the Kurdistan Region.
"The Kurdistan Regional Government (KRG) oil is exported to the Turkish port on the White Sea, which is the center of the European market, because Europe needs Kurdistan Regional Government (KRG) oil to replace Russian oil," he said.
Under the tripartite agreement, the federal government will compensate the companies, pay $16 per barrel to investment companies and receive their entitlements through the Federal Reserve.
Regarding the agreement to resume oil exports from the Kurdistan Region, Nizar said that this agreement will not be temporary but will be the basis for understanding and a long-term agreement.
Since March 25, 2023, the export of Kurdistan Regional Government (KRG) crude oil through the port of Ceyhan has been suspended due to a complaint filed by Iraq against Turkey.
SOMO explains the full details of the "historic agreement" between Baghdad and Erbil regarding the resumption of oil exports.
On Friday, September 26, 2025, the Director General of the State Oil Marketing Organization (SOMO), Ali Nizar Faiq, spoke about the details of the tripartite agreement between the Ministry of Natural Resources in the Kurdistan Region, the Federal Ministry of Oil, and the companies operating in the region's oil production, noting that it establishes long-term agreements.
Faiq said in a press conference followed by Al-Jabal, "The agreement between Baghdad and Erbil was reached with high professionalism and through constructive negotiations. It included direct negotiations with the producing companies in the region, and we were able to reach a strict mechanism for paying their dues according to the budget law."
He added, "The agreement stipulates that compensation will be $16 per barrel received by our company. We will deposit the amount, based on the global price, into Iraq's account at the US Federal Reserve, and the Ministry of Natural Resources in the Kurdistan Region will be compensated with $16 per barrel."
He continued, "Compensation will be provided in kind for barrels produced from fields in Kurdistan, according to a mechanism in place for compensation and in-kind payments to companies located in the south."
He pointed out that "the Iraqi Federal Ministry of Oil will now contract with a specialized consulting firm to re-examine the production and transportation costs for each field, comparing them to $16 per barrel. Compensation will be based on the report determined by that consulting firm retroactively from the date the Oil Marketing Company took over the Kurdistan Region's production, which is scheduled to resume tomorrow morning, Saturday, at six in the morning."
Faiq explained that "this agreement will not be temporary, but will establish long-term agreements and resolve all disputes from the previous phase. Furthermore, oil revenues will benefit Iraq's federal budget."
Earlier today, economic expert Nabil al-Marsoumi discussed the content of the agreement between Baghdad and Erbil regarding the resumption of Kurdistan Region oil exports, indicating that it could become a permanent agreement. Meanwhile, Kurdistan Democratic Party (KDP) leader Hoshyar Zebari expressed his hope that the agreement would be "sincerely implemented."
Al-Marsoumi said in a tweet followed by “Al-Jabal” that “the agreement between Baghdad and Erbil was concluded with eight foreign companies, while the Norwegian DNO and the Turkish Genel did not join it because they demanded a guarantee to pay their previous financial dues, which amounted to $300 million for DNO alone, out of a billion dollars that represents all the delayed financial dues demanded by foreign oil companies operating in Kurdistan.”
He added, "The first phase of the agreement will begin with the export of 190,000 barrels per day, out of a current production of 240,000 barrels. The remaining 50,000 barrels will be allocated for domestic consumption in the Kurdistan Region. The agreement stipulates that $16 per barrel will be allocated to cover production and transportation costs, to be paid to companies in the form of crude oil rather than cash."
He pointed out that "this arrangement will remain in effect until the end of the year, and will be renewed monthly starting in the new year until an international consulting firm determines the exact production costs."
He explained that "the Iraqi government agreed to the request of foreign oil companies in Kurdistan that the agreement be written, not verbal, and that it be registered. The International Court of Arbitration in Paris was chosen as the governing party and guarantor in implementing this agreement."
Al-Marsoumi concluded his post by saying, "It is expected that the Federal Ministry of Oil will sign a contract with the British company Wood Mackenzie to serve as the technical advisor that will accurately determine production costs. The current agreement could then become a permanent one."
For his part, Hoshyar Zebari, a leader in the Kurdistan Democratic Party and former Iraqi Finance Minister, welcomed the agreement between Baghdad and Erbil regarding the resumption of oil exports from the Kurdistan Region.
"The good news is that the Iraqi federal government, the Kurdistan Regional Government, and international oil companies have finally reached an agreement to resume Kurdish oil exports and normalize the payment of salaries and other financial installments to the Kurdistan Regional Government by Baghdad," Zebari said in a tweet followed by Al-Jabal.
He concluded his post by saying: "We hope it will be implemented sincerely."
On Thursday, the Kurdistan Region's Ministry of Natural Resources announced the resumption of oil exports from the region within the next 48 hours.
The ministry said in a statement received by Al-Jabal, "The Kurdistan Regional Government will resume oil exports within the next 48 hours."
The ministry added that it "agreed with the federal Ministry of Oil to export oil from the Kurdistan Region of Iraq."
Prior to that, the Iraqi Ministry of Oil issued a statement detailing the agreement with the Kurdistan Region regarding the export of oil from the region's fields via the Iraq-Turkey pipeline, and the delivery of the produced crude to SOMO, except for quantities allocated for local consumption.
“In the framework of the federal government’s keenness to manage the national wealth in a way that achieves the highest levels of transparency and efficiency, the Ministry of Oil announces the conclusion of an agreement stipulating the commencement of pumping and delivering all crude oil produced from fields located in the Kurdistan Region - except for the quantities allocated for local consumption - to the State Oil Marketing Organization (SOMO), within Iraq, so that the company will export it via the Iraqi-Turkish pipeline via the Turkish port of Ceyhan, in accordance with the approved fundamental procedures, the constitution, the provisions of the Federal General Budget Law, and the decisions of the Federal Court,” the ministry said in a statement received by Al-Jabal.
The statement added, "This agreement is the result of intensive efforts and ongoing discussions over the past months, stemming from a shared national vision aimed at strengthening Iraq's role as a major player in the global energy market, preserving Iraq's sovereignty, and firmly defending its national interests and the rights of all Iraqis."
The ministry continued in its statement, "The agreement includes establishing clear technical and regulatory mechanisms to ensure smooth export flows and transparency in oil revenues, which will contribute to strengthening the state's public finances and increasing federal budget revenues. This will positively impact the government's ability to implement service and development projects and provide the foundations for economic stability for Iraq and its people from north to south and from east to west."
The ministry concluded by saying: "It renews its unwavering commitment to managing oil resources in accordance with the principles of national sovereignty and the country's supreme interest, ensuring a fair distribution of wealth among all Iraqis, in accordance with the constitution."
Iraqi Prime Minister Mohammed Shia al-Sudani announced the conclusion of what he described as a "historic agreement" regarding the transfer of oil from the Kurdistan Region's oil fields to the federal Ministry of Oil for export.
Al-Sudani said in a post on the X website, followed by "Al-Jabal," "Today we reached a historic agreement under which the federal Ministry of Oil will receive crude oil produced from fields located in the Kurdistan Region and export it via the Iraq-Turkey pipeline. This ensures the equitable distribution of wealth, diversifies export outlets, and encourages investment."
He concluded his post by saying: "An achievement we have been waiting for for 18 years.
SOMO Director: Assurances have been given to the oil companies in the Kurdistan Region
The Director General of SOMO has assured the Kurdistan Regional Government (KRG) that the financial entitlements of the companies will be paid through the Federal Reserve Bank of the United States. He said the oil will be exported on Saturday at 6 am.
The Federal Oil Ministry, the Ministry of Natural Resources and oil companies have reached a comprehensive and professional agreement on the mechanism of exporting oil through the Turkish World Port, SOMO Director General Ali Nizar told a news conference on Friday.
The Director General of SOMO said the federal government is honored by the agreement because it is in the interest of the Kurdistan Region and Iraq.
"The Kurdistan Region exports 240,000 barrels of oil daily to SOMO and uses 50,000 barrels of oil daily for domestic needs," he said.
Regarding the oil of the Kurdistan Region, the director general stressed that Europe needs oil from the Kurdistan Region to replace Russian oil, the oil can revive the market in North and South America.
"There is nothing to prevent the implementation of the agreement," Nzari said. "There is nothing to prevent the implementation of the agreement."
He also mentioned the Turkish World Port, which is located on the Mediterranean Sea and is the center of the European market.
"The negotiations took 30 months and this agreement would never have been reached without professional and constructive negotiations," he said.
Has Trump abandoned Iraq? Harris to Shafaq News: Its position is pivotal, and we are awaiting five guarantees from Baghdad.
The US Chargé d'Affaires in Baghdad, Joshua Harris, asserted that Iraq remains central to US policy, downplaying talk of Baghdad's regression to the margins under President Donald Trump, as some observers have suggested.
In an exclusive interview with Shafaq News Agency, to be published later, Harris said, "The United States of America, under President Trump's leadership, puts America's interests first, and this is an effective principle that is applied here and around the world."
Since the beginning of Trump's second term, the US administration has not appointed a new ambassador to Baghdad, a move politicians and research centers have viewed as a sign of declining US interest in Iraq, increasingly tied to the Iranian issue or any potential deals related to the nuclear agreement.
But Harris stressed in the interview that "Washington is focused on its own interests and protecting Iraq's interests simultaneously."
He added that the administration is working with a "team of professionals" focused on making America "more secure, stronger, and more prosperous," explaining that this vision is reflected in bilateral partnerships that "meet the needs of both countries, the United States and Iraq."
Harris also noted that Washington wants to see an Iraq that is "future-oriented, sovereign, secure within its borders, a fundamental contributor to regional stability, and more prosperous through development and economic participation."
The current US position comes at a particularly sensitive time, as Iraq lies in the midst of a tense region, coinciding with the withdrawal of coalition combat forces and the ongoing debate over the balance of its regional and international relations.
Since the fall of the former Iraqi regime in 2003 through a Western coalition led by Washington, Iraq has remained a key issue in American policy, whether under Bush, Obama, or Biden.
Successive US administrations' interest in the Iraq file has been divided around several tracks. The Bush Jr. administration (2003-2008) dealt with Iraq through a large-scale military presence, along with attempts to rebuild the political system.
While the Obama administration (2009-2016) adopted the option of a complete withdrawal in 2011, which led to a security vacuum that ISIS exploited to expand, forcing Washington to return militarily as part of the international coalition in 2014.
The Biden administration (2021-2024), for its part, focused on reducing the direct combat presence and limiting itself to an advisory and training mission, within the framework of understandings with Baghdad, but it remained cautious regarding Iranian influence.
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Norway's DNO will not use newly opened pipeline from Iraq's Kurdistan
OSLO (Reuters) -Norway's DNO has no immediate plans to ship oil through the Iraq-Turkey pipeline that is about to restart after a two-year suspension, the company said on Friday, and will continue to sell directly to Iraq's semi-autonomous region of Kurdistan.
Two Iraqi oil ministry officials told Reuters on Thursday the link from Iraq's Kurdistan region to Turkey will resume operations on Saturday following a tripartite agreement between the federal government, the Kurdistan Regional Government and eight oil companies.
DNO, the largest international oil producer in the KRG, did not sign the deal because it wanted more clarity on how outstanding debts would be paid.
DNO shares fell 1.9% shortly after the opening on the Oslo stock exchange.
"DNO is pleased that exports of oil from the Kurdistan Region have been unlocked and will now flow to international markets," Executive Chairman Bijan Mossavar-Rahmani said in a statement.
"We have elected not to engage directly in exports at this time and will continue to sell our oil on a monthly, cash-and-carry, basis to our buyers at a per barrel price in the low USD 30s," he added.
DNO operates the Tawke licence that includes the Tawke and Peshkabir fields. It has a 75% stake in the licence and its partner Genel Energy has the remaining 25%.
DNO and Genel will be left with about 30,000 barrels of oil per day after delivering some 38,000 bpd to the Kurdistan Regional Government for exports, DNO said.
Although DNO has not signed the tripartite agreement, its buyers could still ship its oil through the export pipeline.
"We understand our buyers have set up their own arrangements to place oil purchased from us into the export pipeline, a move we welcome as it supports the larger export project," Mossavar-Rahmani added.
Al-Sudani Coalition: We will form a "strong alliance" and announce the largest bloc.
Reconstruction and Development Alliance leader Mohammed Al-Akeili spoke about the possibility of forming a larger bloc in the next parliament called the "Strong Alliance."
In a televised interview monitored by Mail, Al-Akeili said, "The Reconstruction and Development Coalition will bring about change and a positive shift in the political process," noting that "just as it succeeded in strengthening people's confidence in the political system, it will also succeed in bringing about positive change in the political process."
He added, "We still believe in consensus among our political partners, the Kurds, the Sunnis, and before them the Shiites. We may move toward a strong alliance to form a larger bloc. There must be both an opposition and a loyalist. If we cannot implement this idea, it will be implemented during the next rounds."
Al-Akeili added, "The Reconstruction and Development Coalition seeks to become the largest bloc in the House of Representatives. We currently have 54 representatives who voluntarily joined our alliance, due to the political calm we enjoy and the political flexibility we enjoy. These are elements previously absent from the political process, especially in the lead-up to elections."
An expert discusses inflation rates in Iraq entering a contraction phase: Stability or stagnation?
Economist Munir al-Abidi said that statistics show that inflation rates in Iraq will enter a contraction phase during the second half of 2025.
Al-Obaidi stated in a tweet monitored by "Ultra Iraq" that "data from the Iraqi Statistical Authority indicates that inflation rates entered a contraction phase during the second half of 2025, with the contraction rate in August reaching -0.6%."
He continued, "Although the decline in prices may be viewed positively by citizens, as it reduces the burden of costs for goods and services, reading this indicator in isolation does not reflect the full picture of the economic situation."
Al-Obaidi pointed out that "the decline in inflation rates cannot be assessed without linking it to other indicators, most notably the gross domestic product (GDP) and its growth rates, particularly in the non-oil sectors, along with quarterly unemployment rates. If the decline in inflation is accompanied by growth in the non-oil GDP and a decline in unemployment, this represents a significant economic achievement."
He pointed out that "if the price contraction is accompanied by a decline in the GDP at constant prices and a rise in unemployment, this means that the Iraqi economy is experiencing an economic contraction resulting from tight monetary policies, especially given the limited funding channels available from government and private banks or other financing institutions."
According to Al-Obaidi, "The main problem lies in the lack of accurate data. Neither the General Authority for Statistics nor any other official body has released data on the gross domestic product for the first half of 2025. There are also no clear figures on unemployment rates or the size of stalled projects in various sectors." He explained that "the only indicator currently available is the Central Bank's continued sale of dollars at roughly the same rates as last year."
To gain a complete picture of the Iraqi economy, a comprehensive set of data must be analyzed, according to Al-Obaidi, which he said includes:
- Quarterly growth rates of GDP in non-oil sectors.
- Unemployment rates and their monthly changes.
- Number of commercial, industrial and service projects registered monthly.
- Number of projects closed during the same period.
- Private sector social security data, amount of benefits paid to employees and their growth rates.
Al-Obaidi believes that "the combination of these indicators determines whether the decline in inflation represents an economic achievement reflecting stability and growth, or whether it is merely a reflection of the stagnation and contraction experienced by the Iraqi economy."
Parliamentary Services sets a date for paying contractors' dues.
Al-Saadi told Al-Furat News Agency that "the elections and the change of government will not hinder the issue of contractors' dues," noting that "a budget will be allocated for it in 2026."
He added, "The 2026 budget will be approved by the new House of Representatives, and all contractors' dues will be disbursed."
The Minister of Oil distributes cash gifts to the children of martyrs and wounded in Basra.
Today, Friday (September 26, 2025), Oil Minister Hayan Abdul-Ghani Al-Sawad supervised the distribution of financial gifts to 640 children of martyrs and wounded in Basra, in appreciation of their sacrifices.
According to a statement from his media office, received by Baghdad Today, the minister, during his attendance and sponsorship of the cash gift distribution event, affirmed "the ministry's commitment to continuing to provide support to the families of martyrs, and to the children of martyrs and wounded in Basra Governorate."
He added, "These financial gifts are given to the children of martyrs and wounded Popular Mobilization Forces members, in lieu of stationery and school uniforms," noting that "this event aims to present a small portion of the sacrifices made by the martyrs to protect the people and land of Iraq, and what they offered was great and immense."
It's worth noting that this initiative, launched by the Central Committee for Supporting the Popular Mobilization Forces and Community Initiatives, was coordinated with the Central Support Committee of the Directorate of Martyrs and Sacrifice, affiliated with the Popular Mobilization Forces.
It's worth noting that the Ministry has implemented a large number of humanitarian and community initiatives to support the families of martyrs and wounded, as well as needy families, orphans, and the sick. These initiatives are implemented through the Central Committee for Supporting the Popular Mobilization Forces and community initiatives, funded by donations from oil sector employees.
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