Kurdistan to Restart Oil Exports Through Iraq’s SOMO: Report

BY THE ARAB TODAY Jul 19, 2025

Kurdistan to Restart Oil Exports Through Iraq’s SOMO: Report

Kurdistan to Restart Oil Exports Through Iraq’s SOMO: Report

Oil exports from the Kurdistan region to Türkiye will start again through a pipeline, Iraq’s central government said on Thursday. This ends a two-year break in exports.

Oil Exports Deal

The Kurdistan Regional Government (KRG) has agreed to send at least 230,000 barrels of oil per day to Iraq’s national oil company, SOMO, for export. This deal has been approved by Iraq’s federal cabinet, according to Reuters.

KRG Prime Minister Masrour Barzani said both governments have agreed on the deal, and they are now waiting for details about the financial terms.

Companies like DNO, Genel Energy, Gulf Keystone Petroleum, and Shamaran Petroleum produce oil in Kurdistan. They want their contracts to stay the same and have asked for nearly $1 billion they are owed to be paid as part of the new agreement.

Before the pipeline closed in March 2023, Kurdistan was producing about 435,000 barrels of oil per day.

Next Steps

For the deal to fully work, contracts with oil companies in Kurdistan still need to be signed. These companies want clear promises about being paid for future exports and for the money they are already owed.

Drone Attacks on Oilfields

At the same time, drone attacks have hit oilfields in Iraqi Kurdistan. Officials blame Iran-backed militias for the strikes.

These are the first known drone attacks on oil sites in the region. They happened alongside new attacks by Houthi militants on ships in the Red Sea — the first in seven months.

One of the drones hit the Tawke oilfield, run by Norway’s DNO, on Thursday. No group has said they carried out the attacks.

No injuries have been reported, but oil production in the region has dropped by 140,000 to 150,000 barrels per day, according to energy officials.

Published: 19th July 2025

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