MESOP MIDEAST WATCH KURDISTAN: Oil production, shipping to continue despite SOMO threats: KRG

The government said the letter would undermine the ongoing “good-faith dialogue” between Erbil and Baghdad with regard to resolving the outstanding energy issues. Kurdistan 24

ERBIL (Kurdistan 24) – The Kurdistan Regional Government (KRG) Ministry of Natural Resources announced on Friday it would continue its oil production and shipping despite the Iraqi oil marketing company’s threats against it, according to a statement.

The strongly-worded statement came in response to a letter issued by the Iraqi State Organization for Marketing of Oil (SOMO) on Tuesday, threatening the Kurdish oil’s buyers and traders with legal consequences.

“SOMO’s letter is nothing more than another drip in a stream of disinformation published by federally-owned state organization as part of a political fight, a fight which sadly includes an attempt by certain parties in Baghdad to undermine the Federal Constitution of Iraq,” the statement read.

The government said the letter would undermine the ongoing “good-faith dialogue” between Erbil and Baghdad with regard to resolving the outstanding energy issues.

The letter is based on a “politically-motivated” legal opinion “pretending to be the “Federal Supreme Court of Iraq”, the statement added.

The top court in February issued a ruling against the Kurdish oil and gas law, describing it as “unconstitutional”. Erbil has strongly rejected the court decision, considering it politically motivated. It has even questioned the constitutionality of the court.

“But there is no Federal Supreme Court and there is no binding decision,” the government said in Friday’s statement, saying the court has not been formed based on the constitution’s article 92.

Baghdad is intended to create “market uncertainty outside of Iraq” in respect of the Kurdistan Region, the government said, asking for the dismissal of the threats.

“Oil produced in the Kurdistan Region continues to be produced, to be shipped, to be sold, to be refined, and to be consumed,” it said, adding investment interest to maintain.

Erbil is ready for a constitutionally based dialogue with Baghdad to resolve the outstanding issues.

“Until that time, the Kurdistan Regional Government will continue to take vigorous steps to defend those rights,” it added.