Sat Sep 27 09:57:29 UTC 2025: **Summary:**
After a two-and-a-half-year deadlock, Iraq has resumed crude oil exports from the Kurdistan region to Turkiye through the Kirkuk-Ceyhan pipeline. This resumption follows an interim agreement between the Iraqi federal government, the Kurdistan Regional Government (KRG), and foreign oil producers. The deal allows for 180,000-190,000 barrels per day of crude to flow to the Turkish port of Ceyhan, eventually aiming for 230,000 bpd. The U.S. played a role in pushing for the restart, which is expected to benefit both Iraq and the global market, as well as settle old depts. The resumption is expected to boost Iraq’s oil revenues and stabilize relations between Baghdad and Erbil. The pipeline was halted in March 2023 due to a legal dispute, resulting in significant financial losses.
**News Article:**
**Iraq Resumes Oil Exports from Kurdistan to Turkiye After Years-Long Dispute**
Baghdad, Iraq – After a standstill lasting two and a half years, Iraq has restarted crude oil exports from its semi-autonomous Kurdistan region to Turkiye via the crucial Kirkuk-Ceyhan pipeline. The resumption, which began early Saturday, follows an interim agreement aimed at resolving long-standing legal and technical disputes between the Iraqi federal government, the Kurdistan Regional Government (KRG), and international oil producers operating in the region.
According to Iraq’s oil ministry, operations commenced smoothly and at a rapid pace. Turkish Energy Minister Alparslan Bayraktar confirmed the development. The agreement is expected to initially see 180,000 to 190,000 barrels per day (bpd) of crude flowing to Turkiye’s Ceyhan port, with plans to eventually reach 230,000 bpd.
The United States played a key role in brokering the restart, which is anticipated to inject much-needed oil back into the international market, especially as OPEC seeks to increase production. U.S. Secretary of State Marco Rubio hailed the deal, stating it would bring tangible benefits to both the U.S. and Iraq.
Iraqi OPEC delegate Mohammed al-Najjar indicated that the country may seek to increase its production quota in light of the restored pipeline and other planned projects. Furthermore, international oil companies operating in the Kurdistan region will receive $16 per barrel to cover production and transportation costs, and are also working on repayment schedule for the outstanding debt of $1bn.
The resumption marks a significant step towards stabilizing relations between Baghdad and Erbil, which have long been at odds over control of lucrative oil exports. The Kirkuk-Ceyhan pipeline was shut down in March 2023 after an international arbitration ruling ordered Turkiye to pay Iraq $1.5 billion for unauthorized exports facilitated by the Kurdish regional authorities. The prolonged shutdown has cost Iraq an estimated $35 billion, according to the Association of the Petroleum Industry of Kurdistan.