US urges Iraq, Kurdistan Region to address oil, gas disputes
ERBIL, Kurdistan Region - The United States called on Iraq and the Kurdistan Region Wednesday to work towards reaching an agreement in disputes between them regarding the oil and gas sector, as Erbil’s status in administering its natural resources continues to be jeopardized by a federal court ruling.
“The solution must come from the Iraqi fronts. It is not possible for the United States or any outside force to impose its opinions or impose a solution on the Iraqi people,” Samuel Warberg, a regional spokesperson for the US State Department, told Rudaw’s Roj Elli Zalla on the sidelines of the 77th United Nations General Assembly (UNGA) in New York.
Iraq’s Federal Supreme Court in February ruled the Kurdistan Region’s oil and gas law as “unconstitutional” and struck down the independence of the Region’s energy sector, placing its status in jeopardy. The Kurdistan Regional Government (KRG) has repeatedly condemned the ruling and labeled the court as “unconstitutional” itself.
Despite ongoing tension between Baghdad and Erbil, Warberg believes it is “possible” for both sides to reach an agreement so that the Iraqi people can reap the financial benefits from the country’s natural
resources.
The Iraqi top court’s decision is impacting the presence and operations of international oil companies (IOCs) in the Kurdistan Region, and a number of companies have decided to obey Baghdad’s blacklist and exit the Region.
Iraq’s oil ministry in July said US energy giants Schlumberger, Baker Hughes, and Halliburton are in the process of liquidating and exiting existing tenders and contracts in the region in compliance with the Supreme Court’s decision.
The US State Department later urged the KRG and the Iraqi federal government to cooperate in dealing with disputes to safeguard interests.
“Any dispute between Baghdad and Erbil has the potential to set back those interests and the interests that we do share with the people of Iraq and the Kurdish people as well,” State Department spokesperson Ned Price said.
On Monday, US company Weatherford also joined the growing list of companies executing the federal court’s ruling and succumbing to pressure from the Iraqi oil ministry, according to Iraqi Oil Report.
Top US diplomat to the Middle East Barbara A. Leaf last week warned that the February decision risks plunging Iraq into a wider economic crisis, calling its possible emergence “the last thing that the Iraqi public needs.”
When asked about Washington’s commitment to the fight against the Islamic State (ISIS), Warberg reiterated US commitment to ensuring the lasting defeat of the terror group.
“We remain committed to the global coalition against ISIS and we held several meetings before the week of the UNGA and discussed with our partners inside and outside the region to eliminate ISIS,” he said.
However, the spokesperson warned that ISIS “still poses a serious threat” despite significant progress in the anti-ISIS mission, with the terror group’s so-called caliphate dismantled territorially in Iraq in 2017 years after its sweeping offensive across Iraq that saw swathes of land come under its brutal reign.
ISIS frequently carries out abductions, hit-and-run attacks, and bombings despite being devoid of territorial control, usually in the disputed areas between Baghdad and Erbil as the areas are part of a security vacuum with limited Iraqi army and Peshmerga presence.
“We must remain committed with our partners in the fight against ISIS, which include the Peshmerga, the Iraqi army, and all other forces,” Warberg stressed.
“The solution must come from the Iraqi fronts. It is not possible for the United States or any outside force to impose its opinions or impose a solution on the Iraqi people,” Samuel Warberg, a regional spokesperson for the US State Department, told Rudaw’s Roj Elli Zalla on the sidelines of the 77th United Nations General Assembly (UNGA) in New York.
Iraq’s Federal Supreme Court in February ruled the Kurdistan Region’s oil and gas law as “unconstitutional” and struck down the independence of the Region’s energy sector, placing its status in jeopardy. The Kurdistan Regional Government (KRG) has repeatedly condemned the ruling and labeled the court as “unconstitutional” itself.
Despite ongoing tension between Baghdad and Erbil, Warberg believes it is “possible” for both sides to reach an agreement so that the Iraqi people can reap the financial benefits from the country’s natural
resources.
The Iraqi top court’s decision is impacting the presence and operations of international oil companies (IOCs) in the Kurdistan Region, and a number of companies have decided to obey Baghdad’s blacklist and exit the Region.
Iraq’s oil ministry in July said US energy giants Schlumberger, Baker Hughes, and Halliburton are in the process of liquidating and exiting existing tenders and contracts in the region in compliance with the Supreme Court’s decision.
The US State Department later urged the KRG and the Iraqi federal government to cooperate in dealing with disputes to safeguard interests.
“Any dispute between Baghdad and Erbil has the potential to set back those interests and the interests that we do share with the people of Iraq and the Kurdish people as well,” State Department spokesperson Ned Price said.
On Monday, US company Weatherford also joined the growing list of companies executing the federal court’s ruling and succumbing to pressure from the Iraqi oil ministry, according to Iraqi Oil Report.
Top US diplomat to the Middle East Barbara A. Leaf last week warned that the February decision risks plunging Iraq into a wider economic crisis, calling its possible emergence “the last thing that the Iraqi public needs.”
When asked about Washington’s commitment to the fight against the Islamic State (ISIS), Warberg reiterated US commitment to ensuring the lasting defeat of the terror group.
“We remain committed to the global coalition against ISIS and we held several meetings before the week of the UNGA and discussed with our partners inside and outside the region to eliminate ISIS,” he said.
However, the spokesperson warned that ISIS “still poses a serious threat” despite significant progress in the anti-ISIS mission, with the terror group’s so-called caliphate dismantled territorially in Iraq in 2017 years after its sweeping offensive across Iraq that saw swathes of land come under its brutal reign.
ISIS frequently carries out abductions, hit-and-run attacks, and bombings despite being devoid of territorial control, usually in the disputed areas between Baghdad and Erbil as the areas are part of a security vacuum with limited Iraqi army and Peshmerga presence.
“We must remain committed with our partners in the fight against ISIS, which include the Peshmerga, the Iraqi army, and all other forces,” Warberg stressed.