The Association of the Petroleum Industry of Kurdistan (APIKUR) in a post on X on June 22 announced that APIKUR member companies agreed with the statement made by the Kurdistan Regional Government (KRG) to export oil through Iraq’s State Organization for Marketing of Oil (SOMO).

“APIKUR member companies agree with the statement made by KRG in their recent Council of Ministers meeting that direct sales agreements between Int’l Oil Companies and SOMO offer the best option for resolving the current situation,” APIKUR said in the post on X.

“Those agreements should provide the IOCs with surety for payment through upfront payment, escrow arrangements, or payments in-kind at Ceyhan.”

On March 25, 2023, independent crude exports from the Kurdistan Region through Turkiye were stopped after an international arbitration in Paris ruled in favor of Baghdad against Ankara, blocking 450,000 barrels per day of crude oil exports.

Read More: Federal Oil Ministry Invites IOCs and KRG for Oil Talks

Kurdish officials have pressed Baghdad to resume the oil exports, but no solution has been found despite June 9 talks in Baghdad between international oil companies (IOCs), the KRG, and the federal government of Iraq. The negotiations stalled on the issue of oil production pricing.

It is expected that the talks will resume soon after the end of the Eid al-Adha holidays on June 19.

APIKUR, which represents several IOCs in the Kurdistan Region, previously stated that IOCs should receive surety of payment for past and future oil exports and that Baghdad should fully implement the Iraqi federal budget for the KRG.

Read More: U.S. Energy Official Discusses Restoring Kurdish Oil Exports

On May 16, 2024, U.S. Assistant Secretary of State for Energy Resources Geoffrey Pyatt visited the Kurdistan Region and was welcomed by KRG Prime Minister Masrour Barzani. 

“We both agreed on the importance of restarting Kurdistan’s oil exports, as their suspension has resulted in significant economic loss for Iraq in general,” Prime Minister Barzani said in a statement during Secretary Pyatt’s visit.