Guest views are now limited to 12 pages. If you get an "Error" message, just sign in! If you need to create an account, click here.

Jump to content
  • CRYPTO REWARDS!

    Full endorsement on this opportunity - but it's limited, so get in while you can!

The oil dispute puts Baghdad in front of “big” legal problems.. Billions of compensation for Erbil (details)


yota691
 Share

Recommended Posts

A former official presents a roadmap for 'implementing' the federal decision on Kurdistan region oil
 

Baghdad - people  

The former Director General of the Department of Oil Contracts and Licensing, Abdul Mahdi Al-Amidi, proposed, on Tuesday, 10 measures to support the Federal Ministry of Oil in implementing the Federal Court’s decision regarding the oil of the Kurdistan region.  

  

  

  

Al-Amidi stated in a clarification followed by “Nass”, (10 May 2022), that “in response to what was stated in the speech of the Minister of Oil, Ihsan Abdul-Jabbar Ismail, regarding negotiating with the Kurdistan Region, in implementation of Federal Court Decision No. 59, and the allusion to reaching a dead end, which The Federal Ministry of Oil and the Iraqi National Oil Company are obliged to take measures to implement this decision and put it into practice. It can be said that there are a set of practical and procedural steps that help the ministry and the company to do so. The most important of these measures are the following:  



1 The Ministry of Oil, through the Oil Marketing Company (SOMO), notifies and informs all international oil companies that purchase crude oil not to deal with the Ministry of Natural Resources in the regional government, and with foreign contracting companies (under production sharing contracts) and not to purchase crude oil produced from fields Kurdistan Region, and in contrast to it, (SOMO) will file lawsuits against companies that buy this oil, given that the ownership of the oil belongs to the Republic of Iraq.  



2 The Ministry of Oil, through SOMO, informs the oil-purchasing companies that they must pay the amounts resulting from the differences in crude oil prices for the quantities of oil they have purchased or purchased from the Ministry of Natural Resources, based on the official prices announced by SOMO on the dates of sale and purchase.  



3 Coordination between the Ministry of Oil and the Ministry of Foreign Affairs to prepare a message that the Foreign Ministry will send to all countries of the world through Iraqi embassies abroad, in which it is clarified that the ownership of petroleum wealth (oil and gas) is for the Iraqi people, and that the development of this wealth and its revenues belong to all the Iraqi people, and the illegality of dealing Independently with the Ministry of Natural Resources in the region, as well as not allowing the establishment of any kind of activities related to oil and gas by representatives of the region in these countries.  



4 The Ministry of Oil informs all the oil companies contracting with the Ministry of Natural Resources in the region (production-sharing contracts) that their contracts are invalid based on the decision of the Federal Court, and that they must reconsider their situation, otherwise they will bear the legal consequences of continuing to implement those contracts.  



5 The Ministry of Oil informs the Turkish government of not allowing and facilitating the export of crude oil produced from the region's fields. Otherwise, the Turkish government bears the legal and financial consequences of that.  



6 Coordination between the Ministry of Oil, the Ministry of Finance and the Central Bank of Iraq to notify the banks in which the proceeds of the sale of crude oil produced from the fields of the region were deposited with the seizure and freezing of those financial returns as they belong to the Republic of Iraq and based on the decision of the Federal Court.  



7 The Ministry of Oil informs the companies working on laying oil and gas pipelines from the region to outside Iraq, or the companies that operate the pipelines system, to stop their work and activities and that what they are doing is against the law.  



8 Coordination between the Ministry of Oil and the Ministry of Finance - under the direction of the Council of Ministers - to stop paying any amounts to the regional government for its monthly dues, and not to include any financial dues to the region in the general federal budget for the year 2022.  



9 The Ministry of Oil continues to approach the regional government in writing to maintain negotiations and discussions with the Ministry of Natural Resources and not stop doing so on its part, provided that the negotiating delegation from the region is at the appropriate level, not that this delegation is at a lower level on the part of the Ministry of Oil, or that it is intended to waste the time.  



10 Coordination between the Ministry of Oil and the Federal Office of Financial Supervision to review records and documents related to the quantities of crude oil and natural gas produced from the region's fields, oil derivatives and financial returns arising from the sale of crude oil and gas.  

  

He pointed out that "all these measures require a sincere will, boldness and courage based on achieving the public interest and the benefit of all the Iraqi people of all stripes, components and nationalities, and not to overlook the interest of the country and the people for useless individual, factional and political considerations and interests."

  • Like 1
  • Upvote 2
Link to comment
Share on other sites

Masrour Barzani on oil disputes: We are in contact with Baghdad and we will continue
 

Baghdad - people  

The President of the Kurdistan Regional Government, Masrour Barzani, Masrour Barzani, confirmed, on Tuesday, the continuation of negotiations with the capital, Baghdad, on resolving the oil disputes.  

  

 

  

Barzani said, in statements translated by "People Kurd", (May 11, 2022): "We in the Kurdistan region continued to contact the federal government to reach a conclusion based on the constitutional rights of the people of Kurdistan and Iraq in general, and as we have made clear, it is not acceptable for individual decisions to violate the constitutional rights of the people of Kurdistan. Kurdistan, and the constitutional articles that were received must be implemented.”  

  

He added, "We are still in contact with the federal authorities regarding the oil and gas file, and I am surprised by the statements that stated that we did not respond. We have received suggestions recently, and we will respond to them in writing, and we are in continuous communication in order to clarify the ways through which we can reach a solution for the benefit of the public in Iraq and the Kurdistan Region." .  

  • Thanks 2
  • Haha 2
  • Upvote 2
Link to comment
Share on other sites

In a press conference, Barzani reviews important files and the latest developments in the relationship with Baghdad
  
{Political: Al Furat News} Kurdistan Regional Government Prime Minister Masrour Barzani is holding a press conference in which he sheds light on the latest developments regarding the relationship with the federal government.

The conference will be held at 12 noon today, Wednesday.
A statement by the regional government indicated that Barzani will speak during the conference about the general economic and political situation in the region, as well as the recent developments in Iraq and the region, in addition to talking about other important files.

  • Upvote 1
Link to comment
Share on other sites

Barzani responds to Baghdad: No person or entity has the right to issue a decision on behalf of the people of Kurdistan
  
{Political: Al Furat News} The President of the Kurdistan Regional Government, Masrour Barzani, expressed the statements of the Federal Oil Ministry not to reach agreement and understandings with the region regarding the oil file and the direction to implement the Federal Court's decision in this regard "literally".

Barzani said in a press conference held today, "Unfortunately, there is talk about issues about the lack of commitment of the regional government in exchange for a solution regarding the oil and gas file in the region," stressing the continuation of relations between Erbil and Baghdad to reach a conclusion on this file in accordance with the permanent constitution of the country and in the interest of Iraqis in general.

He strongly refused to take individual decisions that violate the constitution, stressing that no person or party has the right to issue a decision on behalf of the people of Kurdistan. We have a constitution that cannot be violated.

He noted that the regional government is in constant contact with Baghdad to address the oil and gas file, and we have responded to the federal government regarding this file.

Masrour Barzani continued by saying: I am surprised by the talk that the regional government does not cooperate or respond with the federal government regarding the settlement of the energy file, and we have answered it according to the law and the constitution with the aim of reaching a solution that is in the interest of all of Iraq.

And about filing a lawsuit with the Federal Court regarding the unconstitutionality of sending 200 billion dinars per month, the head of the regional government said: We do not know who filed this lawsuit, stressing that the rights of the people of Kurdistan were approved by the constitution and the draft public financial budget law.

He added, "As for the legality or illegality of sending sums of money to the region, the fact is that this is a conundrum, why is there talk about securing the constitutional rights of the region," stressing that it should not act in such a way with the people of Kurdistan, and we are ready to discuss with the federal government the statistics on revenues.

He expressed his regret that some of the decisions issued by Baghdad are political, expressing his hope that the current and future federal government will respect the rights of all the Iraqi people, including the Kurdistan region.

  • Thanks 1
  • Haha 1
  • Upvote 1
Link to comment
Share on other sites

5 minutes ago, yota691 said:

He strongly refused to take individual decisions that violate the constitution,

Isnt the oil and gas law in their constitution, and for all these years they have not passed it so they are violating the terms of the constitution and a decision needs to be made for them. Piss or get off the pot!

  • Upvote 5
  • Pow! 2
Link to comment
Share on other sites

POSTED ON 2022-05-11 BY SOTALIRAQ

Masrour Barzani responds to the Iraqi Oil Minister: Your data is incorrect and we do not know where you came from

662069Image1.jpg?version=3346808

The Prime Minister of the Kurdistan Regional Government responded to the statements of the Iraqi Oil Minister, Ihsan Abdul-Jabbar, about the oil file in the Kurdistan Region, noting that the statements that the Iraqi minister spoke about were “incorrect.”
 
This came in a press conference held by the Prime Minister of Kurdistan Regional Government, today, Wednesday (May 11, 2022), where Masrour Barzani said that the statements of the Iraqi Oil Minister are incorrect, and we do not know where he came from.
 
He added, "SOMO knows what the Kurdistan Region is doing. All data is available to the federal government, and there are vigorous attempts by the Iraqi Oil Ministry and SOMO to convince oil buyers in the Kurdistan Region at a lower price."
 
The head of the Kurdistan Regional Government stated that oil buyers receive threats from the federal government not to buy oil from the Kurdistan Region at the global price, adding that "they say that we are threatened by the federal government so that they have fears."
 
Masrour Barzani stressed that "if there was an oil and gas law, we would not see these problems," adding: "If the federal government is keen on the people of Kurdistan, it does not threaten these parties."
 
The Prime Minister of the Kurdistan Regional Government said: “We followed a reform program in this booth, reduced the differences in selling oil and compared it to the price of SOMO, and I do not know where the Iraqi Oil Minister came from with his information.”
 
“The cost of oil extraction, marketing, transportation, exploration and development are all in one file,” according to the Prime Minister of Kurdistan Regional Government.
 
Masrour Barzani said: "We are subjected to continuous treachery, and unfortunately, the Arab street is understood that the Kurdistan region receives money at the expense of the people of Iraq, which is not true.
 
He explained that "we agreed on 17%, but it was reduced by a decision of one of the prime ministers to 13.6%, and this was not from the Iraqi public revenues, but after deducting the sovereign expenses, which increase by 45% of Iraq's revenues, it went to the Iraqi government and in return, Kurdistan was deprived of it."
 
Regarding the current relations between the Kurdistan Regional Government and the federal government in Baghdad, Masrour Barzani said that “our relations are continuing with the federal government, and we are working to solve the accumulated problems between us,” stressing that “adherence to the constitution is a basis for solving problems with the federal government.”
 
The President of the Kurdistan Regional Government pointed to the ongoing discussions between Erbil and Baghdad, saying: "We sent our responses to the federal government, presented our suggestions, and emphasized the need to rely on the constitution and to stay away from political reactions and politicize the issue."
 
Masrour Barzani stressed that "our delegations that visit Baghdad always present to the federal government many numbers and accounts, and the result always shows that the Kurdistan Regional Government is right," noting that there are political decisions that want to put pressure on the Kurdistan Regional Government.
 
Masrour Barzani stressed that "the rights of the citizens of the Kurdistan Region must be equal with the rest of the governorates of Iraq, and we are ready to present all files that prove the rights of the Kurdistan Region."
 
He pointed out that "the Kurdistan Region has not been compensated for the crimes committed against it, including the destruction of 4,500 villages and 182 thousand Kurdish citizens who were evaded. All of these issues were constitutionally installed, but it was not implemented."
 
Regarding the bombing of the home of the Kurdish businessman (Baz Raouf Barzanji), he stated that “there is a delegation from the federal government that went to Tehran to request evidence, but did not get evidence, and they concluded that the place belonged to a civilian merchant who had no connection with any Israeli center or spying.” He must be compensated because his house was bombed. He has the right to demand his rights and to file complaints, and this right cannot be retracted.
  • Thanks 2
  • Upvote 1
Link to comment
Share on other sites

ERBIL, Kurdistan Region - Kurdistan Region Prime Minister Masrour Barzani on Wednesday said the regional government is in continuous negotiations with the Iraqi federal government regarding Kurdish oil as it aims to reach a “constitutional conclusion,” while highlighting other issues in the Region.

The Region “has continued negotiations with the federal government in order to reach a conclusion on the basis of the constitution and in line with the constitutional entitlements of the people of Kurdistan [Region] and Iraq in general,” Barzani said during a presser.

The premier’s remark comes a month after Erbil and Baghdad held the first round of talks regarding the management of the Kurdistan Region’s oil after the top Iraqi court ruled against the Region’s oil and gas law in February, jeopardizing the industry. 

During the meeting, the Iraqi oil ministry put forward a proposal that the Kurdistan Regional Government (KRG) has “formally” responded to, according to Barzani. 

“Our response was aligned with the Iraqi constitution,” he said.

“A unilateral decision that violates the constitutional rights of the Kurdistan Region is unacceptable,” Barzani stated.

The KRG passed its oil and gas law in 2007, enabling it to administer and develop its own oil and gas resources.

The Iraqi Federal Supreme Court’s decision found the law to be “unconstitutional,” and therefore struck down the legal basis for the independence of the Kurdistan Region’s oil and gas sector. Kurdish leaders have slammed the decision repeatedly.

Disputes arose between Baghdad and Erbil in early 2014, when Baghdad cut the Region’s share of the federal budget, setting into motion a series of crises that the KRG still suffers from. By March 2014, the KRG started exporting its oil abroad in an attempt to secure the salaries of its employees.

The Iraqi and Kurdish governments were once again brought to the table in 2021 when Iraq was drafting its budget law. Both sides agreed that the KRG would continue its oil sales, and in return would hand the revenue of 250,000 barrels of oil to Baghdad daily.

Barzani also highlighted Sulaimani’s revenues, saying they were higher during the coronavirus and the financial crisis that engulfed the Region.

 “We ask, what are the reasons for the decrease in [Sulaimani’s] revenues?” the premier added.

The PM called on the governors of Sulaimani, Halabja, Raparin, and Garmiyan administrations to point out whether the issues are “local and regional or general, and who is responsible for lowering the needed income to give out [civil servant] salaries,’ which have seen a delay.
With regards to the upcoming parliamentary elections in the Kurdistan Region, Barzani emphasized the importance of holding them as scheduled on October 1. 

The KRG has failed to pay the salaries of its civil servants in full and on time for years due to the financial crisis causing strikes across the Region.

Teachers in Sulaimani on Wednesday peacefully protested the delay of March payment.

  • Upvote 1
Link to comment
Share on other sites

ERBIL, Kurdistan Region - Kurdistan Region Prime Minister Masrour Barzani on Wednesday said the regional government is in continuous negotiations with the Iraqi federal government regarding Kurdish oil as it aims to reach a “constitutional conclusion,” while highlighting other issues in the Region.

The Region “has continued negotiations with the federal government in order to reach a conclusion on the basis of the constitution and in line with the constitutional entitlements of the people of Kurdistan [Region] and Iraq in general,” Barzani said during a presser.

The premier’s remark comes a month after Erbil and Baghdad held the first round of talks regarding the management of the Kurdistan Region’s oil after the top Iraqi court ruled against the Region’s oil and gas law in February, jeopardizing the industry.

During the meeting, the Iraqi oil ministry put forward a proposal that the Kurdistan Regional Government (KRG) has “formally” responded to, according to Barzani. 

“Our response was aligned with the Iraqi constitution,” he said.

“A unilateral decision that violates the constitutional rights of the Kurdistan Region is unacceptable,” Barzani stated.

The KRG passed its oil and gas law in 2007, enabling it to administer and develop its own oil and gas resources.

The Iraqi Federal Supreme Court’s decision found the law to be “unconstitutional,” and therefore struck down the legal basis for the independence of the Kurdistan Region’s oil and gas sector. Kurdish leaders have slammed the decision repeatedly.

Disputes arose between Baghdad and Erbil in early 2014, when Baghdad cut the Region’s share of the federal budget, setting into motion a series of crises that the KRG still suffers from. By March 2014, the KRG started exporting its oil abroad in an attempt to secure the salaries of its employees.

The Iraqi and Kurdish governments were once again brought to the table in 2021 when Iraq was drafting its budget law. Both sides agreed that the KRG would continue its oil sales, and in return would hand the revenue of 250,000 barrels of oil to Baghdad daily.

Barzani also highlighted Sulaimani’s revenues, saying they were higher during the coronavirus and the financial crisis that engulfed the Region.

 “We ask, what are the reasons for the decrease in [Sulaimani’s] revenues?” the premier added.

The PM called on the governors of Sulaimani, Halabja, Raparin, and Garmiyan administrations to point out whether the issues are “local and regional or general, and who is responsible for lowering the needed income to give out [civil servant] salaries,’ which have seen a delay.
With regards to the upcoming parliamentary elections in the Kurdistan Region, Barzani emphasized the importance of holding them as scheduled on October 1. 

The KRG has failed to pay the salaries of its civil servants in full and on time for years due to the financial crisis causing strikes across the Region.

Teachers in Sulaimani on Wednesday peacefully protested the delay of March payment.

  • Upvote 1
Link to comment
Share on other sites

Alia Nassif: She commends the position of the Minister of Oil

1D414204-3D55-4B2A-B9E7-8746200A356C.jpe

Representative Alia Nassif praised the position of the Minister of Oil towards implementing the Federal Court’s decision regarding the export of the region’s oil and his demand for the Kurdistan Regional Government to abide by it, calling on the Prime Minister, the Public Prosecution, the Federal Court and honorable representatives to stand by any Iraqi official who defends the rights of the Iraqi people and protects them from punitive measures by any party.

And she said in a statement today, that: "Although we have observations and indications of the performance of the Minister of Oil, we declare our solidarity with him in his position on the regional government's failure to abide by the Federal Court's decision to prevent the export of oil outside the system of the central government and to summon all the companies that contracted individually. With the regional government and that the contracts be central, as he entered into negotiations with the Kurds for a period of 75 days, but he did not reach a result that leads to a unified oil policy,” expressing her belief “that the Kurds will try to circumvent this decision by trying to remove him from the ministry.”

Nassif called on the Prime Minister, the Public Prosecution, the Federal Court and honorable representatives to protect those who abide by the constitution and apply the decisions of the Federal Court from retaliatory measures. And she indicated: “It is the duty of the three authorities to protect and respect the constitution, and this is their national, moral and legal duty, and if the president of the republic is a protector of the constitution, he must order the region to implement the decisions of the Federal Court, whose decisions have a power equivalent to the strength of the constitution, and failure to adhere to its decisions is high treason, and it cannot be circumvented. its decisions under any pretext

  • Upvote 1
Link to comment
Share on other sites

website.jpg.53e2d9743d205eed7081577ceed7fe7f.jpg

 

 
 
2022/05/11/13:48

Barzani: The Ministry of Oil and the Sumo Company threaten the purchasers of the region's crude

https://almasalah-com.translate.goog/ar/news/226321/بارزاني-وزارة-النفط-وشركة-سومو-تهددان-الجهات-المشترية-لخام-الإقليم?_x_tr_sl=auto&_x_tr_tl=en&_x_tr_hl=en

 

Baghdad / Obelisk: The President of the Kurdistan Regional Government, Masrour Barzani, responded today, Wednesday, May 11, 2022, to the statements of Iraqi Oil Minister Ihsan Abdul-Jabbar regarding the oil file in the Kurdistan region, noting that the statements made by the Iraqi minister are "incorrect."

This came in a press conference held by the President of the Kurdistan Regional Government, where Masrour Barzani said that the statements of the Iraqi Oil Minister are incorrect, and we do not know where he came from.

He added, "SOMO knows what the Kurdistan Region is doing. All data is available to the federal government, and there are vigorous attempts by the Iraqi Oil Ministry and SOMO to convince oil buyers in the Kurdistan Region at a lower price."

The head of the Kurdistan Regional Government stated that oil buyers receive threats from the federal government not to buy oil from the Kurdistan region at the global price, adding that "they say that we are threatened by the federal government so that they have fears."

Masrour Barzani stressed that "if there was an oil and gas law, we would not see these problems," adding: "If the federal government is keen on the people of Kurdistan, it does not threaten these parties."

The head of the Kurdistan Regional Government said: "We followed a reform program in this booth, reduced the differences in selling oil and compared it to the price of SOMO, and I do not know where the Iraqi Oil Minister came from with his information."

“The cost of oil extraction, marketing, transportation, exploration and development are all in one file,” according to the President of the Kurdistan Regional Government.

Masrour Barzani said: "We are exposed to constant treachery, and unfortunately the Arab street is understood that the Kurdistan region receives money at the expense of the people of Iraq, which is not true. We are an essential component and we have a statistic of souls.

He explained that "we agreed on 17%, but it was reduced by a decision of one of the prime ministers to 13.6%, and this was not from the Iraqi public revenues, but after deducting the sovereign expenses, which increase by 45% of Iraq's revenues, it went to the Iraqi government and in return, Kurdistan was deprived of it."

Regarding the current relations between the Kurdistan Regional Government and the federal government in Baghdad, Masrour Barzani said that "our relations are continuing with the federal government, and we are working to solve the accumulated problems between us," stressing that "commitment to the constitution is a basis for solving problems with the federal government."

The head of the Kurdistan Regional Government pointed to the ongoing discussions between Erbil and Baghdad, saying: "We sent our responses to the federal government, presented our suggestions and emphasized the need to rely on the constitution and to stay away from political reactions and politicize the issue."

Masrour Barzani stressed that "our delegations that visit Baghdad always present to the federal government many numbers and accounts, and the result always shows that the Kurdistan Regional Government is right," pointing out that there are political decisions that want to put pressure on the Kurdistan Regional Government.

Masrour Barzani stressed that "the rights of the citizens of the Kurdistan region must be equal with the rest of the provinces of Iraq, and are ready to present all files that prove the rights of the Kurdistan region."
 
He pointed out that "the Kurdistan region has not been compensated for the crimes committed against it, including the destruction of 4,500 villages and 182 thousand Kurdish citizens who were left out."

Regarding the bombing of the house of the Kurdish businessman (Baz Raouf Barzanji), he stated that "there is a delegation from the federal government who went to Tehran to request evidence, but did not get evidence, and they concluded that the place belonged to a civilian merchant who had no connection with any Israeli center or espionage." He must be compensated because his house was bombed. He has the right to demand his rights and to file complaints, and this right cannot be undone

  • Like 1
  • Haha 1
  • Upvote 1
Link to comment
Share on other sites

1652260320161.jpg

 

Masrour Barzani is surprised by Baghdad's statements about the regional government's lack of response to the oil and gas file

 2022-05-11 05:16
 

Shafaq News/ The Prime Minister of Kurdistan Regional Government, Masrour Barzani, expressed on Wednesday his astonishment over statements made by officials in the federal government claiming that the regional government did not respond in dealing with the energy file.

Barzani said in a press conference held today and followed by Shafak News Agency, "Unfortunately, there is talk about issues about the regional government's lack of commitment in exchange for reaching a solution regarding the oil and gas file in the region," stressing the continuation of relations between Erbil and Baghdad to reach a conclusion on this file in accordance with the constitution. permanent for the country and in the interest of the Iraqis in general.

The Prime Minister strongly refused to take individual decisions that violate the constitution, stressing that no person or entity has the right to issue a decision on behalf of the people of Kurdistan. We have a constitution and it cannot be violated.

He noted that the regional government is in constant contact with Baghdad to address the oil and gas file, and we have responded to the federal government regarding this file.

Masrour Barzani continued by saying: I am surprised by the talk that the regional government does not cooperate or respond with the federal government regarding the settlement of the energy file, and we have answered it according to the law and the constitution with the aim of reaching a solution that is in the interest of all of Iraq.

 

And about filing a lawsuit with the Federal Court regarding the unconstitutionality of sending 200 billion dinars per month, the head of the regional government said: We do not know who filed this lawsuit, stressing that the rights of the people of Kurdistan were approved by the constitution and the draft public financial budget law.

He added, "As for the legality or illegality of sending sums of money to the region, the fact is that this is a conundrum, why is there talk about securing the constitutional rights of the region," stressing that it should not act in such a way with the people of Kurdistan, and we are ready to discuss with the federal government the statistics on revenues.

He expressed his regret that some of the decisions issued by Baghdad are political, expressing his hope that the current and future federal government will respect the rights of all the Iraqi people, including the Kurdistan Region.

  • Thanks 3
  • Haha 3
  • Upvote 1
Link to comment
Share on other sites

 
 2022-05-12 08:53
 

Shafaq News/ On Thursday, the Iraqi Ministry of Oil accused the Kurdistan Regional Government of committing constitutional violations in concluding oil contracts with contractors and companies.

The ministry said in a statement today, that it "would like to point out that the financial terms of the service contracts prepared by the Ministry of Oil, which will be approved for redevelopment, comprehensive development or exploration in all licensing rounds, are the best compared to the financial terms of production-sharing contracts, whether it is for the state or foreign companies." (Contractor).

In the production-sharing contracts for the region’s fields, the contractor is given a share of the extracted oil, in addition to the freedom to dispose of his share of the produced quantities and sell them at the place and time specified by the contractor, and this violates Article 111 of the Constitution, which clarifies that oil and gas is the property of the Iraqi people, noting that Thus, the region authorized foreign companies to fully control the petroleum operations through the terms of the production sharing contracts for the region, as one of these clauses included “that the government and each contracting entity have the right and obligation to sell or dispose of their oil shares in kind”, meaning that the region’s government has granted the contractors The right to sell its share of the produced oil and pay the government’s share, as the opposite is supposed to be true.”

The company also stated in its statement that "this means that the principle of production control is in the hands of foreign companies, and this is in contrast to the service contracts for licensing rounds of the Federal Ministry of Oil, all the oil produced through licensing round contracts is sold by the Oil Marketing Company (SOMO) at prices competitiveness that generates the highest revenues for the Iraqi people.

The Federal Ministry of Oil would also like to show that the financial terms of production-sharing contracts for the Kurdistan Region - Iraq compared to the financial terms of service contracts have achieved very high benefits and profits for foreign companies at the expense of the government due to the absence of the principle of transparent competition and the resort to a direct bilateral agreement with companies when referring those contracts and this Contrary to what was approved by the Federal Ministry of Oil in the oil licensing rounds, which caused the loss of the opportunity to obtain the best commercial terms to maximize the financial revenues from the sale of oil produced from the fields of the region, where the financial returns to the regional government are no more than 80% as an average after deduction of costs Production (the cost of producing a barrel of oil), while the financial returns for the first and second licensing round amounted to more than 94.5% to 96.5%, and as shown in the attached commercial plans, and that the production costs are equal to (4) times the production costs in the licensing rounds of the Federal Ministry of Oil.

On the other hand, “the regional government signed on itself, through production-sharing contracts, a contractual obligation to exempt contractors from taxes and allowed them to inflate their profits without imposing any kind of taxes or sharing those inflated profits, especially when oil prices rose globally, and this violates the tax law of 1982. (Amended) and its instructions,” according to the statement.

The Ministry of Oil concluded its statement that “the region did not adhere to the quotas allocated to Iraq under the OPEC agreements, which negatively affected the quantities of oil allocated to Iraq from the central and southern fields, and thus negatively affected the financial returns of the federal government, despite bearing its burdens by securing the salaries of its people in the region.”

  • Thanks 4
Link to comment
Share on other sites

A member of Al-Maliki's coalition: Kurdistan acts as an independent state from Iraq.. He has a new position

 

 

1,086 Policy 05/12/2022 14:34 Baghdad today -

Baghdad Today, Thursday, a member of the State of Law Coalition, Wael Al-Rikabi, was surprised by what he considered the insistence of the Kurdistan region to reject the federal government's supervision of oil imports, while stressing that the position of his new regional government rejecting the Federal Court's decision unconstitutional of the oil and gas law in Kurdistan is the best evidence. Al-Rikabi said in a statement to (Baghdad Today), "The region is not committed to the federal government in the issue of imports resulting from the sale of oil, border crossings, taxes and local collection for the health, electricity, water, official departments and others." He added, "The imports in the region must be subject to the financial control of the state." Al-Waeli added that "the powers of the region have been clarified by the Iraqi constitution, so the region must clarify its position that it is affiliated with the Republic of Iraq or that it is an independent state." The head of the Kurdistan Regional Government, Masrour Barzani, had indicated the region's rejection of the Federal Court's decision, which considered the oil and gas law issued by the region unconstitutional, while indicating that his government was seeking to find a satisfactory formula with Baghdad regarding the oil file.

  • Thanks 1
  • Upvote 1
Link to comment
Share on other sites

ERBIL, Kurdistan Region - Contents of the Kurdistan Region’s oil contracts with international countries violate articles of the Iraqi constitution, the Iraq National Oil Company said in their financial examination of the contracts published on Thursday, because they provide foreign companies with “absolute power” over the process in the Region.

The Iraqi oil ministry in February requested the Kurdistan Regional Government (KRG) to hand over their contracts and agreements with other countries and oil companies, for the purpose of reviewing and amending them. The report from the oil company, which is part of the ministry, is an analysis of the contracts, and deems the KRG’s oil agreements to be a violation of the 2005 Iraqi constitution.

Iraq’s constitution tasks the federal government with running the country’s “present” oil fields but that does not prevent it from running fields that may be found in the future, the report said, as the contrary would create “illogical results.” Some regions, most likely referring to the Kurdistan Region, have used this as an excuse to participate in the earnings of previous fields, as well as taking sole control of fields found after the implementation of the constitution, it added.

The KRG has often used the term “present fields” from Article 112 of the Iraqi constitution to justify controlling oil fields that were found after the implementation of the constitution in 2005.

The report claimed that the KRG’s contracts with international companies and the exportation of extracted oil and gas is a violation of the Iraqi constitution as it withdraws the power from the federal government to run the country’s oil and gas sector.

The oil company also criticized the KRG for giving “absolute power” to foreign companies and contractors in their agreements, which it also deemed to be unconstitutional since according to Article 111, oil and gas are the property of the Iraqi people.

“In production-sharing contracts for the Region’s fields, the contractor is given a share of the extracted oil in addition to the freedom to handle its share of the produced quantities and selling it at a place and time specified by the contractor, which violates Article 111 of the constitution,” the report read.

The company’s review added that the KRG’s contracts have resulted in great profits for foreign companies due to exempting the contractors from any form of taxation.

In addition to this, the report cites the bilateral agreements with foreign companies without involving the federal government as another reason for the high income of the contractors.

“The financial returns to the Regional government are no more than 80% as an average after deduction of costs Production (the cost of producing a barrel of oil), while the financial returns for licensing rounds amounted to more than 94.5% to 96.5%, where the cost of producing one barrel is equivalent to four times the cost of producing a barrel for licensing rounds at the Federal Ministry of Oil,” the report stated.

Iraqi Oil Minister Ihsan Abdul Jabbar said on Saturday that the Iraqi government has no desire to control the Kurdistan Region’s oil and gas activity, but only to turn it into a “clear and transparent” business activity.

Kurdistan Region Prime Minister Masrour Barzani on Wednesday said the KRG is in continuous negotiations with the Iraqi federal government regarding Kurdish oil, and that it aims to reach a “constitutional conclusion.”

The KRG passed its oil and gas law in 2007, enabling it to administer and develop its own oil and gas resources.

The Iraqi Federal Supreme Court’s decision found the law to be “unconstitutional” in February, therefore striking down the legal basis for the independence of the Kurdistan Region’s oil and gas sector. Kurdish leaders have slammed the decision repeatedly.

  • Upvote 2
Link to comment
Share on other sites

SULAIMANI— The Iraq National Oil Company (INOC) issued a statement Thursday, (May 12) regarding the Kurdistan Region’s independent oil and gas and exports, stating they were unconstitutional. 

The company specifically stated the Region’s contracts were against the constitution. 

The Kurdistan Region cannot sign contracts and export oil to foreign countries without the Federal government’s consent, according to the statement. 

The company also declared the federal government has the right of supervising oil fields discovered in the future.

The INOC statement comes months after the Iraqi Federal Supreme Court’s verdict in February that declared the Kurdistan Regional Government’s law on the independent sale of the Region’s oil and natural gas against the Iraqi constitution.

(NRT Digital Media)

  • Thanks 2
  • Upvote 1
Link to comment
Share on other sites

SULAIMANI — An MP from the State of Law Coalition said on Thursday (May 12) he was surprised at the insistence of the Kurdistan Regional Government’s (KRG) rejection of federal government supervision over oil and gas exports.

Wael al-Rikabi said the KRG was not committed to the Iraqi Federal Supreme Court’s verdict on the Kurdistan Region’s independent oil and gas sales, as well as issues between Baghdad and Erbil over customs revenues and regulations on health, electricity, water and taxes. 

He insisted the sale of the Kurdistan Region’s oil and gas must be supervised from Baghdad. 

Rikabi said the authority of the KRG is determined by the Iraqi Federal government and stated Erbil must clearly state its position on its status as part of Iraq or as an independent territory. 

the Iraqi Federal Supreme Court’s verdict in February declared the KRG’s law on the independent sale of the Region’s oil and natural gas against the Iraqi constitution.

(NRT Digital Media)Das 

  • Haha 1
  • Upvote 1
Link to comment
Share on other sites

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.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
 Share

  • Recently Browsing   0 members

    • No registered users viewing this page.



×
×
  • Create New...

Important Information

By using this site, you agree to our Terms of Use.