17 July 2013

Kurdistan Alliance demanded on Wednesday, Deputy Prime Minister for Energy Affairs , Hussain al-Shahristani to "Stop" from his threats to foreign oil companies operating in the region and his accusations to the region of smuggling oil, calling on him to make way for joint committees that were formed recently to accomplish its work, including the consensus on the oil and gas law.

The Deputy Prime Minister for Energy Affairs , Hussain al-Shahristani has said in press statements that the oil contracts concluded by Kurdistan region with foreign companies are illegal and pointed to the existence of oil smuggling across the borders of the region.

"Shahristani has to give a chance for talks to succeed, not to poison the atmosphere," the spokesman of the alliance, Muayad al-Tayeb told "Shafaq News".

He pointed out that the statements of al-Shahristani didn't come on time as everyone must support the talks and not to resort to threats and accusations.

He explained that the Iraqi and Kurdish people hoped good from the mutual visits by prime Minister , Nuri al-Maliki and President of Kurdistan Region , Massoud Barzani with a view to resolve the outstanding issues between the parties and through joint committees.

The oil extracted from fields in Kurdistan Region used to be transferred to world markets via Kirkuk - Ceyhan pipeline, which is controlled by Baghdad to Turkey, but the Kurdish exports via that route stopped last year because of a dispute over oil payments.

This dilemma between Baghdad and Erbil is considered a major obstacle in the plans developed by the two sides to develop discovered oil fields and other exploration during the next few years.

Baghdad says that it has the only right in the management of the country's oil wealth through the conclusion of contracts and export crude, but Kurdistan rejects that and confirms that the Iraqi constitution allows it to sign oil contracts.

Kurdistan was able to attract giant companies to work in its fields, including Exxon Mobil, Chevron Americas, France's Total and Russia's Gazprom despite warnings from Baghdad.

© Shafaq News 2013