Kurdistan Steps Up Oil Exports with New Agreement
The Kurdistan Regional Government has agreed to deliver 230,000 barrels of oil per day to SOMO for export, following a new federal agreement. Production is currently at 280,000 bpd, with 50,000 bpd allocated for local use. Revenue, minus costs, goes to the federal treasury.
The Kurdistan Regional Government (KRG) of Iraq is set to begin delivering a substantial 230,000 barrels of oil per day to the state oil marketer SOMO, according to a freshly approved agreement by the federal cabinet.
The statement released on Thursday noted that current production levels in the region are at 280,000 barrels per day. Of this total, 50,000 barrels are designated for local consumption, with the KRG covering production and transportation costs for this domestic allocation.
Additionally, revenue generated from the refined oil products will be directed to the federal treasury after deductions for various expenses, the statement added.
(With inputs from agencies.)
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