SocalDinar Posted August 27, 2016 Report Share Posted August 27, 2016 More oil news With Economy Reeling, Iraq to Sell Oil Through Iran if Talks With Kurds Fail Under the potential agreement with Tehran, Iran would import Iraqi oil to its refineries and export an equivalent amount of its own crude on behalf of Baghdad from Iranian ports on the Gulf. Stephen Kalin Aug 27, 2016 4:44 PM REUTERS — Iraq's government would consider selling crude through Iran should talks with the autonomous Kurdish region on an oil revenue-sharing agreement fail, a senior oil ministry official in Baghdad told Reuters. Iraq's State Oil Marketing Organisation plans to hold talks with the Kurdish Regional Government, possibly next week, about Iraqi oil exported through Turkey, Iraqi Deputy Oil Minister Fayadh al-Nema said in an interview on Friday evening. "If the negotiations come to a close" without an agreement "we will start to find a way in order to sell our oil because we need money, either to Iran or other countries", he said by telephone. Iraq, OPEC's second-largest producer after Saudi Arabia, depends on oil sales for 95 percent of its public income. Its economy is reeling under the double impact of low oil prices and the war against ISIS. The Kurdistan region produces around 500,000 barrels per day on its territory and exports those volumes via Turkey. Baghdad would not be able to reroute those volumes to Iran but could order shipments of some 150,000 bpd via Iran that are being produced in the nearby province of Kirkuk. An agreement between Iran and Iraq could function in a similar fashion as oil-swap deals Tehran has had with Caspian Sea nations, according to an oil official who asked not to be identified. Iran would import Iraqi oil to its refineries and export an equivalent amount of its own crude on behalf of Baghdad from Iranian ports on the Gulf. Iraq has ports on the Gulf but they are not linked to the northern Kirkuk fields by pipeline. Iraq's state-run North Oil Company resumed pumping crude through the Kurdish-controlled pipeline to Turkey last week as "a sign of goodwill to invite them (the Kurds) to start negotiations," Nema said. He said pumping had resumed on the instruction of Iraqi Prime Minister Haider al-Abadi following "some understanding" between Baghdad and Erbil. Abadi said on Tuesday the decision had been made to avoid damage to reservoirs. The flow of crude extracted from Kirkuk by North Oil and pumped in the pipeline has been running at about 75,000 bpd since last week, or half the rate before it was halted in March, Nema said. Should there be an agreement with the Kurds, flow through the pipeline would be increased to more than 100,000 bpd, not to the previous level of 150,000 bpd, he added. Nema said about 20,000 bpd would be supplied to the refinery of Suleimaniya, in the Kurdish region, and 30,000 bpd would be refined locally in Kirkuk. The pipeline carries crude to the Mediterranean port of Ceyhan, where the Kurds have been selling it independently on the international market, along with oil produced in their northern region. The Kurdish government has been calling on Baghdad since March to resume the pumping of Kirkuk crude in full to help Erbil fund its war against Islamic State. Sources in Erbil have said splitting the Kirkuk flows would divide the Kurds and complicate the task of fighting the ultra-hardline militants. A KRG spokesman in June told Reuters the Kurds are ready to strike an agreement with Baghdad if it guarantees them monthly revenue of $1 billion, more than double what they make currently from selling their own oil. The dispute revolves around Kurdish oil exports that Baghdad wants to bring under its control. "If Baghdad comes and says 'OK, give me all the oil that you have and I'll give you the 17 percent as per the budget', which equals to 1 billion, I think, logically it should be the thing to accept," KRG spokesman Safeen Dizayee said in June. "Whether this oil goes to the international market or first to Baghdad and then to the market, it doesn't make any difference," he added. "We are ready to enter dialogue with Baghdad." The Kurdish government stopped delivering crude oil to the central government about a year ago, a decision taken when Baghdad's payment fell under $400 million a month, Dizayee said. It is also in a dispute with the central government over Kirkuk, where North Oil produces its crude and which the Kurds claim as part of their territory. The Kurds took control of the region two years ago, after the Iraqi army disintegrated when ISIS overran a third of the country. read more: http://www.haaretz.com/middle-east-news/1.738922 2 Quote Link to comment Share on other sites More sharing options...
yota691 Posted August 27, 2016 Report Share Posted August 27, 2016 Exclusive - Iraq plans to sell oil through Iran if talks with Kurds fail Source : Last Updated: Sat, Aug 27, 2016 17:41 hrs By Stephen Kalin BAGHDAD (Reuters) - Iraq's government would consider selling crude through Iran should talks with the autonomous Kurdish region on an oil revenue-sharing agreement fail, a senior oil ministry official in Baghdad told Reuters. Iraq's State Oil Marketing Organisation (SOMO) plans to hold talks with the Kurdish Regional Government (KRG), possibly next week, about Iraqi oil exported through Turkey, Deputy Oil Minister Fayadh al-Nema said in an interview on Friday evening. "If the negotiations come to a close" without an agreement "we will start to find a way in order to sell our oil because we need money, either to Iran or other countries", he said by telephone. Iraq, OPEC's second-largest producer after Saudi Arabia, depends on oil sales for 95 percent of its public income. Its economy is reeling under the double impact of low oil prices and the war against Islamic State militants. The Kurdistan region produces around 500,000 barrels per day (bpd) on its territory and exports those volumes via Turkey. Baghdad would not be able to reroute those volumes to Iran but could order shipments of some 150,000 bpd via Iran that are being produced in the nearby province of Kirkuk. An agreement between Iran and Iraq could function in a similar fashion as oil-swap deals Tehran has had with Caspian Sea nations, according to an oil official who asked not to be identified. Iran would import Iraqi oil to its refineries and export an equivalent amount of its own crude on behalf of Baghdad from Iranian ports on the Gulf. Iraq has ports on the Gulf but they are not linked to the northern Kirkuk fields by pipeline. Iraq's state-run North Oil Company resumed pumping crude through the Kurdish-controlled pipeline to Turkey last week as "a sign of goodwill to invite them (the Kurds) to start negotiations," Nema said. He said pumping had resumed on the instruction of Prime Minister Haider al-Abadi following "some understanding" between Baghdad and Erbil. Abadi said on Tuesday the decision had been made to avoid damage to reservoirs. The flow of crude extracted from Kirkuk by North Oil and pumped in the pipeline has been running at about 75,000 bpd since last week, or half the rate before it was halted in March, Nema said. Should there be an agreement with the Kurds, flow through the pipeline would be increased to more than 100,000 bpd, not to the previous level of 150,000 bpd, he added. Nema said about 20,000 bpd would be supplied to the refinery of Suleimaniya, in the Kurdish region, and 30,000 bpd would be refined locally in Kirkuk. × The pipeline carries crude to the Mediterranean port of Ceyhan, where the Kurds have been selling it independently on the international market, along with oil produced in their northern region. The Kurdish government has been calling on Baghdad since March to resume the pumping of Kirkuk crude in full to help Erbil fund its war against Islamic State. Sources in Erbil have said splitting the Kirkuk flows would divide the Kurds and complicate the task of fighting the ultra-hardline militants. A KRG spokesman in June told Reuters the Kurds are ready to strike an agreement with Baghdad if it guarantees them monthly revenue of $1 billion, more than double what they make currently from selling their own oil. The dispute revolves around Kurdish oil exports that Baghdad wants to bring under its control. "If Baghdad comes and says 'OK, give me all the oil that you have and I'll give you the 17 percent as per the budget', which equals to 1 billion, I think, logically it should be the thing to accept," KRG spokesman Safeen Dizayee said in June. "Whether this oil goes to the international market or first to Baghdad and then to the market, it doesn't make any difference," he added. "We are ready to enter dialogue with Baghdad." The Kurdish government stopped delivering crude oil to the central government about a year ago, a decision taken when Baghdad's payment fell under $400 million a month, Dizayee said. It is also in a dispute with the central government over Kirkuk, where North Oil produces its crude and which the Kurds claim as part of their territory. The Kurds took control of the region two years ago, after the Iraqi army disintegrated when Islamic State overran a third of the country. (Additional reporting by Aref Mohammed in Basra; Writing by Maher Chmaytelli; Editing by Dale Hudson) 4 Quote Link to comment Share on other sites More sharing options...
yota691 Posted August 27, 2016 Report Share Posted August 27, 2016 Iraq sells oil through Iran as talks with Kurdistan failed Saturday 27-08-2016 | 6:20:31 H d Twilight News / Iraqi Government is considering the sale of oil through Iran in case talks with the Kurds on oil revenue sharing agreement failed, according to a senior official at the Iraqi Ministry of Oil. The deputy oil minister, Fayyad grace, that the Iraqi government oil marketing organization (SOMO) is planning to hold talks with the Kurdistan Regional Government next week on Iraqi oil exported via Turkey. He explained, "If you do not reach an agreement with the Kurdistan Regional Government will begin to find a way for the sale of oil because we need money, either to Iran or other countries." Iraq relies's second-biggest producer in OPEC after Saudi Arabia, the oil sales by 95 percent of public revenue, while the Iraqi economy reeling under the double impact of lower oil prices and the war against al Daesh. In this context, the Kurdistan Region of Iraq produces about 500 thousand barrels per day and exports of these quantities through Turkey, while Baghdad would not be able to redirect those quantities to Iran but to issue about 150 thousand barrels per day through Iran, which are produced in the neighboring province of Kirkuk could. Reuters 2 Quote Link to comment Share on other sites More sharing options...
yota691 Posted August 27, 2016 Report Share Posted August 27, 2016 Ceyhan re Kirkuk oil receivers Baghdad, waving to export oil through Iran if "no" consistent with Erbil Author: HAA Editor: BK, HH 8/27/2016 17:30 Number ofViews: 443 Long-Presse / Baghdad Promised the Iraqi Oil Ministry, said Saturday that the resumption of the export of oil to the Turkish port of Ceyhan via the Kurdistan region "a goodwill gesture" to encourage the Government of the Territory to start negotiations on the sharing of oil revenue, while confirming that the failure of the negotiations has been paid by the search for an alternative such as Iran or other to cover the deficit financial facing the country. The agent said the oil ministry Fayyad grace in a press statement followed up (range Press), "The resumption of the North Oil Company pumping through the pipeline passing through the territory of the Kurdistan region to Turkey's goodwill gesture to invite the Government of the Territory to start negotiations," likely to "place the oil marketing company SOMO (SOMO ) talks with the Kurdistan region during the next week on the export of oil through the pipeline linking the Turkish port of Ceyhan. " He said grace, that "the Iraqi government may be considering the sale of its crude oil through Iranian territory or the other in the event of stalled negotiations with the KRG over oil revenue sharing formula," attributing it to "Iraq's need for money to address the crisis." It is noteworthy that the North Oil Company, announced in the (18 of August now 2016), for the resumption of crude exports from its fields to the Turkish port of Ceyhan via the Kurdistan region, after a break of five months, indicating that it produced 100 thousand barrels per day, while confirmed ( 24th of August now), its intention to increase the amount to 150 thousand barrels per day. The new oil minister, Jabbar and coffee, it was announced at the parliamentary approval for his appointment, in (the 13th of August now 2016), about the possibility of addressing the problems of oil with the Kurdistan region. 3 Quote Link to comment Share on other sites More sharing options...
blueskyline Posted August 27, 2016 Report Share Posted August 27, 2016 Thank You SoCal , Yota . Next week it is .............. 2 Quote Link to comment Share on other sites More sharing options...
10 YEARS LATER Posted August 27, 2016 Report Share Posted August 27, 2016 Let's just toss a Cow into the Jet Engine and see what happens. Smoke ? An attitude adjustment article to scare people into action ? Veiled Threat ? Lets' shoot ourselves in the foot and go back to Square One ? Hell, one minute the new Minister says " ain't nothing but a thang " with the Kurds & getting everyone onboard, etc.; now this? What kinda Back Door is going on now ? - - - Politics, oh brother ! Back down into the gutter we go until someone surfaces with a contrary article saying they're all holding hands again. Just when you think they're getting somewhere, someone creates a way to STANK IT ALL UP ! 4 Quote Link to comment Share on other sites More sharing options...
tigergorzow Posted August 27, 2016 Report Share Posted August 27, 2016 SocalDinar Thanks, Yota Thanks, DV, I do believe the GOI & KRG will come to a final agreement and we will see the "Oil & Gas Law passed in the very near future IMHO. The pressure is on both sides to get this done asap!! Keeping the faith!! GO RV!! 4 Quote Link to comment Share on other sites More sharing options...
jcfrag Posted August 27, 2016 Report Share Posted August 27, 2016 Everything has changed now with the political blocks no longer pulling strings and arguing. I think we are going to see a much smoother political arena. But the Kurds are still the Kurds... I suspect that is Abadi setting the stage before the talks so the Kurds already know Bahgdad has options and is looking at them. In poker you keep a poker face. In Bahgdad you tell them you MIGHT have a pair of aces in your hand. Abadi knows what he is doing.... 😁 3 Quote Link to comment Share on other sites More sharing options...
skeetdog Posted August 27, 2016 Report Share Posted August 27, 2016 Thanks SD and Yota...Wasn't it Baghdad that filed international legislation against Kurish tankers anchored in the Houston Bay...Baghdad filed suit protesting the unloading of the oil and threaten any company that bought the oil...The Kurds built their own pipeline and pumped their own oil to their own tanker and got away with it...What's good for the Goose is good for the Gander...I'd say Abadi has a pretty good bluff... 1 Quote Link to comment Share on other sites More sharing options...
mylilpony Posted August 28, 2016 Report Share Posted August 28, 2016 well this is the deputy oil minister talking and not the new oil minister,so we will see if luabi makes a trip to kurdistan after barzani gets back from his trip around the region. 1 Quote Link to comment Share on other sites More sharing options...
Wiljor Posted August 29, 2016 Report Share Posted August 29, 2016 IRAQ SAYS IT IS READY TO EXPORT KIRKUK OIL THROUGH IRAN Iraq, August 29, 2016 ERBIL, Kurdistan Region - The Iraqi government is planning to sell crude from oilfields in Kirkuk via Iran, in case oil and budget talks with the Kurdistan Regional Government (KRG) fail. “Iraq’s state oil marketing organization (SOMO) plans to hold talks with the Kurdish regional government, possibly next week, about Iraqi oil exported through Turkey,“ Iraq’s deputy oil minister Fayadh al-Nema told Reuters on Friday “If the negotiations come to a close without an agreement we will start to find a way in order to sell our oil because we need money, either to Iran or other countries.” he added Iraq is the second-largest producer in OPEC, and 95 percent of the Iraqi budget relies on oil revenues. But drops in oil prices and the war with Islamic State (ISIS) has plunged the Iraqi government into a severe financial crisis. The KRG exports nearly 500,000 barrels per day (bpd) of its oil through a pipeline to Turkey. But Baghdad has no authority over the 150,000 bpd from Kirkuk that has been exported via the KRG pipeline. The KRG ministry of Natural Resources (MNR) has been in talks with Iran since early this year over oil agreements. There have been talks with Tehran over building a pipeline to Iran, but there has been no firm agreement. “The Iranian government stepped forward to sign the oil agreement with the KRG and for that they have been waiting for three months. But the KRG has remained silent,” Nazim Dabagh, the KRG representative in Iran, told Rudaw earlier this month. The Kurdistan Region has an estimated 45 billion barrels of crude oil reserves, which it administers largely independently from Baghdad. The deal with Tehran would give the KRG access to Iran’s Persian Gulf to ship its crude oil to international markets. Iran made the offer of a pipeline to Kurdish officials after a series of disruptions halted the shipment of Kurdish oil to Turkey’s Ceyhan port on the Mediterranean coast. http://iraqdailyjournal.com/story-z13807332 1 Quote Link to comment Share on other sites More sharing options...
Freedomwish Posted August 29, 2016 Report Share Posted August 29, 2016 Ummm.....is it me, or the "HCL" is hanging on by a thread here just before it's about to be signed? 1 Quote Link to comment Share on other sites More sharing options...
markb57 Posted August 29, 2016 Report Share Posted August 29, 2016 it's past time to put the kurds in their place. they are not a separate country. Quote Link to comment Share on other sites More sharing options...
yota691 Posted August 29, 2016 Report Share Posted August 29, 2016 On 8/27/2016 at 1:11 PM, yota691 said: It is noteworthy that the North Oil Company, announced in the (18 of August now 2016), for the resumption of crude exports from its fields to the Turkish port of Ceyhan via the Kurdistan region, after a break of five months, indicating that it produced 100 thousand barrels per day, while confirmed ( 24th of August now), its intention to increase the amount to 150 thousand barrels per day. Its Flowing should speak for it self.... 2 Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.