Baghdad dispute with Kurdistan to “be discussed by Iraqis inside Iraq”

Iraq’s Deputy Prime Minister, Hussain Shahristani, has addressed outside pressure to resolve the ongoing dispute between Baghdad and Kurdistan, by stating that, “It was clear to all sides that any internal matter has to be discussed by Iraqis inside Iraq.”

Kurdistan and Baghdad have long disagreed over how the northern region’s oil reserves are to be exploited. The key issue at present is the Kurdistan Regional Government’s signing of oil exploration deals with a number of foreign companies, including major players such as ExxonMobil, that the Baghdad government views as illegal.The dispute has flared up in recent months as a result of Kurdistan’s cessation of oil exports in retaliation for missed payments by the Baghdad government.

The US is particularly keen to resolve the dispute between the two governments as it threatens to further divide the region. US troops left Iraq last year, just before the arguments between Kurdistan and Baghdad began.

Iraq controls some of the world’s largest oil reserves and if further disruption continues and the dispute worsens, it could affect the country’s ambitious production plans. This could not only affect global supplies of oil in the short term, but also potentially hinder the ability of the region to increase production and keep up with increasing global demand in the long term.

Edited from various sources by David Bizley

Read the article online at: https://www.oilfieldtechnology.com/exploration/27042012/baghdad_dispute_with_kurdistan_to_be_discussed_by_iraqis_in_iraq/