Kurdistan Region's Oil Export: From Suspension to Resumption

Economy 01:12 PM - 2025-09-27
Oil extracting machine with Kurdistan and Iraq flags in the background. PUKMEDIA

Oil extracting machine with Kurdistan and Iraq flags in the background.

KRG Baghdad Iraq Kurdistan Region

After more than two years, six months, and two days of suspended oil exports, the Iraqi Ministry of Oil confirmed that oil exports from the Kurdistan Region resumed on Saturday, 27 September 2025, stating that exports proceeded at a rapid pace and without any technical issues.

PUK's Efforts Led to the Agreement

The resumption follows intensive and continuous efforts by the Patriotic Union of Kurdistan (PUK), led by President Bafel Jalal Talabani, alongside Kurdistan Region Deputy Prime Minister Qubad Talabani, which culminated in a historic agreement to reopen the Iraq–Türkiye pipeline.

Paris Resolution Suspended Oil Exports


The Kurdistan Region's oil exports were initially suspended on 25 March 2023, following a 277-page resolution issued in Paris on 13 February 2023. Since then, the Kurdistan Regional Government (KRG) delegations conducted approximately 50 visits to Baghdad to resolve the issue, leading to the signing of a tripartite agreement on 22 September 2025 between the KRG, the federal government, and international oil companies operating in the Region.

The Region's oil exports, which were through the Ceyhan port were halted after the International Chamber of Commerce tribunal ruled that Türkiye had breached a 1973 pipeline transit agreement by allowing the KRG to export crude independently of Baghdad.

Details of the Agreement

Under the agreement, the Kurdistan Region will produce 280,000 barrels of oil per day, with 50,000 barrels allocated for domestic consumption and the remaining 230,000 barrels delivered to Iraq’s State Oil Marketing Organization (SOMO) for export and marketing.

Iraqi Oil Ministry Confirms Resumption


The Ministry of Oil confirmed that operations began at 6:00 a.m. local time on Saturday, under the supervision of Iraqi Deputy Prime Minister for Energy Affairs and Minister of Oil Hayyan Abdul Ghani, in close coordination with the KRG’s Ministry of Natural Resources. The ministry described the smooth resumption as a reflection of successful collaboration between the federal and regional governments.

PUK President Welcomes Agreement

PUK President Bafel Jalal Talabani welcomed the agreement, expressing gratitude to the people of Kurdistan for their patience and perseverance throughout the negotiations. He reaffirmed that dialogue and negotiation remain the most effective means of resolving disputes and achieving outcomes that serve citizens’ best interests.

“We hope this agreement will better serve our beloved people and ensure justice in the distribution of the country’s revenues, while guaranteeing the Kurdistan Region’s rightful financial entitlements in accordance with the Constitution,” President Bafel stated. He also extended his appreciation to all parties who contributed to the success of the agreement.

Deputy PM: KRG-Federal Government Oil Agreement Marks Major Gain For Citizens

Qubad Talabani, Deputy Prime Minister of the Kurdistan Region, described the deal as a major gain for the citizens of both Kurdistan and Iraq. 

“The agreement paves the way for a comprehensive solution to other problems and disputes, in line with the Constitution and through ongoing dialogue,” he said. 

He added that the time has come to focus on services, reconstruction, and the development of the Kurdistan Region and Iraq. Deputy PM Talabani also thanked the negotiating teams and all who contributed to the successful outcome.

The Lesson Lies in Implementation

PUK Lawmaker in the Iraqi Parliament stressed that the success of agreements between Baghdad and the Kurdistan Region depends on their implementation on the ground.

PUK Lawmaker Karwan Yarwais told PUKMEDIA: “Over the past period, many agreements have been concluded but not implemented. The real lesson lies in their implementation. This latest agreement, which entered into force today, is no more important than the budget law, the Federal Court’s decision, or other agreements if the signatory parties do not adhere to them.”

He added: “As we have repeatedly stated, the root of the problems between the Kurdistan Region and the federal government is the oil issue. Resolving this matter opens the door to addressing other problems, particularly the Region’s financial entitlements.” 

The PUK Lawmaker emphasised that both sides’ commitment to the agreement will help restore trust between the Kurdistan Region and Baghdad. He further underlined that this trust is essential to guaranteeing the Region’s financial dues when the federal budget is approved by the next government following the upcoming Iraqi parliamentary elections.



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