Tuesday, 02 January 2024 12:17 GMT

Iraq Declares Resumption of Kurdistan Crude Oil Exports


(MENAFN) Iraq’s Oil Ministry declared on Saturday the restart of crude oil exports from the semi-autonomous Kurdistan region through the Iraq-Türkiye pipeline, ending a suspension that lasted two and a half years.

Export operations resumed smoothly at 6:00 a.m. local time (0300 GMT), with high efficiency and complete fluidity, according to a ministry statement. This marks a successful collaboration between the Iraqi federal government and the Kurdistan Regional Government.

"This development represents a significant step towards strengthening the management of national wealth in a spirit of partnership and high-level coordination, contributing to ensuring the sustainability of oil exports and supporting the national economy," the statement said.

Earlier, on Thursday, Prime Minister Mohammed Shia' al-Sudani announced a new agreement in which the federal Oil Ministry will handle crude oil produced in Kurdistan and export it via the Türkiye pipeline.

Previously, Kurdish authorities sold oil independently through the Turkish port of Ceyhan without Baghdad’s approval. The pipeline was shut down in March 2023 following an international arbitration ruling favoring Iraq in a dispute with Türkiye over these independent sales.

With oil exports accounting for over 90 percent of Iraq’s state revenue, the pipeline’s reopening is a crucial move to bolster the nation’s economic recovery.

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