Iraq and the Kurdistan region have collectively lost $5 billion due to the halt of oil exports through the Turkish Ceyhan port, which previously was operating at 400,00 barrels a day. This suspension of exports was initiated at the request of Baghdad following a victory in an international arbitration court, which awarded Baghdad $1.5 billion. Turkey, Erbil, and Baghdad have been negotiating to resume oil exports since March, with a memorandum of understanding signed in April to manage the oil dossier with Baghdad. Recent discussions between Turkish and Iraqi officials have focused on the pipeline’s maintenance, which was reportedly damaged by a February earthquake.
- Halt of Oil Exports in Iraq and Kurdistan Region lead to $5 billion in Losses