'Pragmatism is way forward' at Kurdistan roadblock

Export halt: the Tawke oilfield in Kurdistan

AFP/SCANPIX

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Steve Marshall

 04 May 2012 15:36 GMT

The Iraqi government will only resolve its ongoing stand-off with Kurdistan over production sharing deals through a “pragmatic co-operation” as both sides refuse to retreat from their entrenched positions, according to an energy consultant.

It follows a visit by powerful Iraqi Shiite cleric Moqtada al-Sadr to Kurdistan last week to meet with its President Massud Barzani in a bid to defuse tensions after the semi-autonomous region halted oil exports to Iraq last month in protest over non-payment by Baghdad.

Kurdistan claims it is owed $1.5 billion in payments by Iraq for foreign oil companies working in the northern region, while the Iraqi regime insists production sharing contracts signed by the Kurdistan Regional Government (KRG) with these players are illegal.

Barzani added further fuel to the fire on…

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