Iraqi Kurdistan could see oil and gas advances
Friday, February 26, 2021
Significance
The oil sector managed a slight rise in oil production in 2020, despite the challenges of the pandemic and low oil prices. The KRG mostly managed to keep up payments to oil companies but did not assist Baghdad in making production cuts under the OPEC+ agreement.
Impacts
- Combined new gas projects could meet domestic needs and potentially allow exports by the later 2020s.
- The government could resume payments of overdue amounts to international oil companies from this month.
- Talks with Baghdad will become more complex around planned elections in October 2021 and depending on legal developments with Turkey.