Iraqi oil exports to resume after agreement with Kurds

After months of disputes, Iraq and the Kurdistan Regional Government have agreed to resume oil exports to Turkey through the Ceyhan hub.

The flow of crude is expected to resume as early as Wednesday, with both sides promising to coordinate efforts and strengthen oilfield security and infrastructure.

Revenues from the exports will go to the federal treasury, indicating an attempt at a compromise between Baghdad and the Kurds.

The agreement comes at a moment of extreme tension. Oil production in southern Iraq has fallen sharply after the conflict with Iran disrupted key export routes, including the Strait of Hormuz. Iraq therefore faces a real risk of economic losses.

(reuters, mja)