Iraqi Kurdistan oil revenue $1 billion per month

by **Ponee** Fri Nov 04, 2016 11:23 am

SULAIMANI, Iraq’s Kurdistan region,— Iraq’s Kurdistan Regional Government (KRG) sells nearly one million barrels of oil per day (bpd) and the revenue amounts to about $1 billion per month, which could provide for the salaries of all employees in the Kurdistan Region.

The KRG produces, exports and sells about one million bpd via pipeline, oil trucks and refineries, according to information NRT has obtained through investigation from a foreign source knowledgeable about the region’s oil

Nearly $350 million remains from money the KRG generated through oil revenue in a month, which could be used for projects and activities.

The following details information on oil fields in the Kurdistan Region and in Kirkuk which are under the control of the KRG Ministry of Natural Resources:

Khurmala Oil Field: 210,000 bpd

Tawke Oil Field: 190,000 bpd

Taq Taq Oil Field: 110,000 bpd

Havana and Bai Hassan Oil Field: 300,000 bpd

Other small oil fields: 100,000 bpd

Oil production through oil fields under the KRG amounts to a total of 910,000 bpd.

The production of oil for a month amounts to 27,300,000 barrels. If a barrel of oil is estimated at $36 as the KRG has indicated, the income amounts to nearly $1 billion per month.

The 910,000 bpd which the Kurdistan Region produces is sold by various methods which makes the discovery and monitoring of its real data difficult. These methods are:

Exporting oil through the Kurdistan Region’s oil pipeline to the Ceyhan Port, nearly 600,000 bpd, and sales via oil tank trucks, amounting to 230,000 bpd. Selling and providing oil for internal refineries amounts to 80,000 bod. The total is 910,000 bpd.

NRT compared all data and figures from a foreign company to data and information from inside the Kurdistan Region, which the KRG officially published but the figures have not been verified by a third party.

Regarding oil and gas exports via tank trucks to Iran and Turkey through border crossings, NRT correspondents at the border crossings of Haji Omaran, Bashmakh, Parvez Khan and Ibrahim Khalil have calculated the tank trucks every day over the last month. The correspondents have documented the number and estimated the average number for a month to be nearly 840 tank trucks crossing the borders per day.

NRT has obtained documents concerning the amount of oil sold to refineries. Nearly 80,000 barrels are given to the Bazian Refinery in Sulaimani and the Kalak Refinery in Erbil.

The barrels are sold to refineries with the price of four to ten dollars less than the Brent price, which is nearly $50 on international markets.

This data on the Kurdistan Region’s oil is accurate and it is believed the KRG has hidden this from the Iraqi government.

With the exception of some foreign companies, which have their own exact figures for exports through their fields, and officials from the Kurdistan Region, including Masoud Barzani, the KRG Prime Minister Nechirvan Barzani and the KRG Minister of Natural Resources, Ashti Hawrami, no other individual or party is aware of the revenue.

Although the Patriotic Union of Kurdistan (PUK) is aware of the oil dossier and has its share, the PUK is not as informed as Barzani, the KRG Prime Minister and KRG Minister Hawrami.

Masoud Barzani is aware of the total amount of oil exports and revenue, according to information NRT has obtained.

Barzani is the president of the high executive office and he is above all other powers in accordance with the Kurdistan Region’s Presidency law. Even the High Council of Oil and Gas has a more limited function and Barzani, who receives decisions from the KRG Premier, in the end makes the final decision.

Barzani is aware of the oil revenue of the Kurdistan Region, which amounts to nearly $1 billion, according to information obtained by NRT.

The income could cover the salaries of all employees before the KRG’s decision to cut employees’ salaries in February. The Kurdistan Region requires $650 million to meet the salaries of employees. Nearly $350 million remains from oil revenue. However, employees have not received salaries for the last two months.

Barzani decided in the beginning to deposit oil revenue in several international banks, instead of in a single account in one bank, according to special information and to hide the accurate revenue of oil.

Barzani has decided to bring part of the revenue back to the Kurdistan Region and deposit it in the Kurdistan International Bank, which is a non-governmental bank believed to be owned by the Kurdistan Democratic Party (KDP).

http://ekurd.net/kurdistan-oil-revenue-billion-2016-11-02