Oil & Gas Iraq rejects Kurdish oil deals with US companies By Nadim Kawach May 21, 2025, 8:48 PM Onex Holding/Media Centre Iraqi Kurdish prime minister Masrour Barzani, pictured in Washington. The US has advocated for a resumption of oil exports from the region Deals worth $110bn Involve Sulaymaniyah fields Washington supports Kurdish exports Iraq has rejected the validity of two major oil and gas contracts recently announced by the Kurdistan Regional Government (KRG), declaring them illegal under federal law. The disputed agreements involve the development of the Miran and Topkhana-Kurdamir fields in Sulaymaniyah Governorate, the local Al Eqtisad News reported. But the oil ministry said in a statement on Tuesday that the contracts violate rulings by Iraq’s supreme court which affirm that oil and gas agreements made independently by the KRG are unconstitutional and therefore void. The deals, worth an estimated $110 billion over their lifetime, were unveiled by Iraqi Kurdish prime minister Masrour Barzani during a visit to Washington. Iraqi Kurdish Prime Minister Masrour Barzani announced the deals, worth an estimated $110 billion over their lifetime, during a visit to Washington. The first is with HKN Energy, a privately held US company with offices in Arbil, to develop the Miran gas field believed to hold around 8 trillion standard cubic feet (tcf) of natural gas. The second is with WesternZagros, another privately held US-owned company with offices in Calgary, Canada and in Erbil and Sulaymaniyah, to exploit the Topkhana-Kurdamir blocks, containing approximately 5 trillion tcf of gas and 900 million barrels of oil. Iraq to launch Baghdad metro project later this year China’s Tsingshan to build ‘steel city’ in Iraq Iraq imports 126,000 solar panels for ‘Sun of Basra’ project The KRG has said that the deals are crucial to meeting Kurdistan’s energy needs and boosting regional output, but the oil ministry in Baghdad views them as an overreach. “These contracts undermine national unity and the rule of law,” the ministry said. It said that Iraq’s natural resources are a collective national asset, not to be managed unilaterally. In 2022, Iraq’s Supreme Court ruled the Kurdish oil and gas law unconstitutional, asserting federal authority over oil exports. Despite these tensions, Washington has been advocating for the resumption of Kurdish oil exports through the Ceyhan pipeline to Turkey’s Mediterranean coast, which have been stalled since March 2023 due to legal disputes and pipeline shutdowns. Washington’s push is aimed in part at reducing Iran’s influence in the region. Register now: It’s easy and free AGBI registered members can access even more of our unique analysis and perspective on business and economics in the Middle East. Why sign uP Exclusive weekly email from our editor-in-chief Personalised weekly emails for your preferred industry sectors Read and download our insight packed white papers Access to our mobile app Prioritised access to live events Register for free Already registered? Sign in I’ll register later Register now: It’s easy and free AGBI registered members can access even more of our unique analysis and perspective on business and economics in the Middle East. Why sign uP Exclusive weekly email from our editor-in-chief Personalised weekly emails for your preferred industry sectors Read and download our insight packed white papers Access to our mobile app Prioritised access to live events Register for free Already registered? Sign in I’ll register later
