Nautinexus
Wednesday, February 4, 2026
This Website is owned and managed by Media Reach, a group of media experts - Jordan
Jordan Financial
All news authentication is the responsibility of the source
HomeMeed NewsLatest Iraq oil supply deal will test Baghdad

Latest Iraq oil supply deal will test Baghdad

Date:

Related stories

spot_imgspot_img
Latest Iraq oil supply deal will test Baghdad


Many similar deals between the Iraqi federal government and the Kurdistan Regional Government in the past have fallen apart due to lack of commitment from either parties

The latest oil suuply deal agreed between Baghdad and Erbil will require commitment from both sides to make it work.

The recent agreement has many similarities to previous agreements that were signed between the Iraq’s federal government and the Kurdistan Regional Government (KRG), which did not succeed.

Previous agreements have failed to resolve key issues, with both sides ultimately accusing the other side of reneging on the deal.

In 2014, the Iraqi federal government struck a deal with Erbil to start exporting oil under the framework of the central Iraqi government in return for payments owed by Baghdad.

At the time, the agreement was hailed as the first step in resolving a standoff between Erbil and Baghdad over independent oil exports from Iraq’s semi-autonomous region of Kurdistan.

Under the agreement, the KRG agreed to place 150,000 barrels a day (b/d) of crude oil at the disposal of the central government, which would, in return, pay $500m to the Kurdish government.

The deal fell apart during 2015, with both the KRG and Iraq’s central government accusing each other of not keeping to the terms of the agreement.

A similar deal was also announced in 2012, and also rapidly fell apart.

In order to make sure the new deal succeeds, it is likely that the Iraqi federal governement will have to ensure that the  Kurdistan region receives prompt payments and real benefits from the cooperation framework.

If this is not the case, then it is likely that the Kurdistan region will look to try and export oil outside of the central government’s systems.



Source link

Latest stories

spot_img