International oil firms stop operations as Iraqi-Kurdish oil dispute continues
A Kurdish official told Al-Monitor that the Kurdistan Regional Government disagrees with an Iraqi government proposal to resolve the issue, as the stoppage of oil exports to Turkey threatens the autonomous region's economy.
Another international oil company announced on Wednesday it is stopping operations in the Kurdistan Region of Iraq following a court ruling that halted the autonomous region’s oil exports to Turkey.
In a statement, the Norwegian oil and gas operator DNO said it had begun an “orderly shutdown of its operated oil fields in the Kurdistan region of Iraq."
A Kurdistan Regional Government (KRG) official told Al-Monitor on Wednesday that there are still differences between the Iraqi federal government and the KRG, so talks are expected to continue.
The Norwegian withdrawal move followed the Canada-based Forza Petroleum on Monday announcing its subsidiary in the Kurdistan Region had suspended production. The US-based HKN Energy said the same day that it “will be shutting in operations within a week if no resolution is reached,” according to a statement. However, HKN said it could continue operations if another arrangement is found, such as selling to local refineries in the Kurdistan Region.
