Kurdish northern Iraq suspends oil exports in dispute with Baghdad
Wednesday, October 14, 2009 E-Mail this story Free Headline Alerts
BAGHDAD Ñ The autonomous Kurdish government has suspended oil exports amid its latest dispute with the central Iraqi government.
The Kurdish Regional Government has informed the Iraqi Oil Ministry of the suspension of all oil exports from the autonomous northern region.
Officials said KRG has demanded that the Oil Ministry pay companies that have developed and pumped the 100,000 barrels of Kurdish oil per day through Iraq's pipeline network.
"We have jointly agreed that no free oil will be pumped for export, and payments have to be made," KRG Natural Resources Minister Ashti Hawrami said. "We will only resume exports with guaranteed payments."
The Iraqi Oil Ministry, which agreed to transport Kurdish oil over national pipelines, has confirmed its refusal to pay foreign contractors in Kurdistan. The ministry, which began the arrangement in May 2009, said it was not committed to unauthorized contracts signed by KRG.