Iraq has restarted crude oil exports from the Kurdistan region after more than two years of suspension caused by legal disputes and pipeline shutdowns. The oil ministry confirmed that flows through the Iraq-Turkey pipeline resumed on Saturday, with the State Oil Marketing Organisation (SOMO) receiving 190,000 barrels daily for export and 50,000 for local use.
Exports from Kurdistan were halted in March 2023 after a Paris arbitration tribunal ruled that only Baghdad had the authority to market Iraqi oil, ending the Kurdish regional government’s independent sales. A new agreement reached this week between Baghdad, Arbil, and international oil firms allowed exports to restart, with Washington mediating the deal.
The Association of the Petroleum Industry of Kurdistan (APIKUR) estimates Iraq lost over $35 billion during the pipeline’s closure. The region also owes oil companies around $1 billion in arrears, with talks planned to create a repayment mechanism.
Oil remains Iraq’s economic backbone, accounting for 90% of state revenue. The country currently exports about 3.4 million barrels per day
