Kurdistan, Iraq: new efforts to settle the oil investment issue

Tactical Report: A KDP source suggests the Kurdistan Regional Government (KRG) continues its efforts to have control over oil investment projects in northern Iraq independently of the central Oil Ministry in Baghdad.

The Kurdish Democratic Party (KDP), whose leader Massoud Barzani acts as the KRG President, is doing its best to settle the issue. It has recently contacted US and Japanese companies to see whether they can help provide the KRG with legal consultations on the subject.

Concurrently, the KDP is holding contacts with Shiite leaders in southern Iraq over plans to restructure the oil sector in Iraq. These plans suggest rehabilitating the Oil Ministry and setting up public and private companies in northern and southern Iraq.

Besides, the KDP continues contacts with foreign oil companies not only in northern Iraq, but also in southern Iraq where it is arranging meetings between foreign oil companies and Shiite leaders supporting calls for a Shiite autonomous federated state there.

Note the KRG has already bypassed Baghdad and signed contracts or MoUs with foreign companies to explore for oil in northern Iraq. These companies include DNO of Norway; Petoil and General Energy, both of Turkey; Western Oilsands and Heritage Oil, both of Canada, Woodside of Australia and Sterling Energy of the UK.