Foreign Minister: Iraq May Adjust Its Financial Budget For This Matter
Economy News – Baghdad The Iraqi Foreign Minister said that his country may amend its federal budget to pay recovery and transit fees to international oil companies, in an attempt to restart an important oil pipeline a year after it was stopped.
Fouad Hussein told Bloomberg News, “Talks are ongoing between oil companies, the Iraqi government in Baghdad, and the semi-autonomous Kurdistan Regional Government to resume crude oil exports through Turkey. The pipeline closure has blocked about half a million barrels of crude oil from global markets.”
Turkey stopped flows through the pipeline - which transports oil from the Kurdish region in Iraq to the Turkish port of Ceyhan - in March 2023 after an arbitration court ordered it to pay about $1.5 billion in compensation to Iraq for transporting oil without Baghdad’s approval.
Long-standing dispute
The arbitration decision was the culmination of a long-standing dispute between Baghdad and the Iraqi Kurdistan region over the rights to collect revenues from oil sales.
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