The Kurdistan-based oil companies have reached out to the U.S. congress, pleading for their involvement to encourage Iraqi PM Mohammed Shia' al-Sudani to agree on a deal with Erbil and return to the negotiating table. This comes amid escalating tension in the region's oil production and distribution nexus, which has drawn the attention and concern of major global players. Subsequently, the resumption of deliberations for a beneficial agreement seems to be the only solution to bring ease to the intensifying situation.
1. Kurdistan-based oil companies have requested help from the U.S. congress to encourage Iraqi PM Mohammed Shia' al-Sudani to negotiate a deal with Erbil, amidst rising tensions.
2. The tensions concern the oil production and distribution hub in the region, which is attracting the attention of vital global entities.
3. The reintroduction of negotiations for a mutually beneficial agreement is seen as the way to alleviate the increasing strain.
4. The Kurdistan-based oil companies have repeatedly urged the U.S. Congress to intervene, given the U.S. global influence and close ties with Iraq.
5. The primary aim of these actions is to achieve a deal that would restore suspended oil exports from Kurdistan, aiding the companies' recovery from an economic decline caused by the disrupted oil trade.
In 2020, Iraq, including the Kurdistan region, was the 5th largest oil producer in the world, pumping out approximately 4.4 million barrels of oil per day.
On multiple occasions, these Kurdistan-based oil companies have appealed to the U.S. Congress to mediate in this matter. They believe that the U.S., being a global powerhouse and a close ally of Iraq, can exert substantial pressure on Iraqi PM Mohammed Shia' al-Sudani and drive him to negotiate with Erbil. The ultimate goal of these whistleblower initiatives is to secure a deal that would effectively resume the suspended oil exports from the Kurdistan region, thereby assisting these companies to bounce back from the economic dip due to the halted oil trade.