ExxonMobil freezes Iraqi Kurdistan deal

He made the remarks on Friday.

ExxonMobil and the KRG had angered Iraq’s central authorities by signing a large-scale contract in November 2011 without the approval of the Oil Ministry in Baghdad.

The KRG has been engaged in a longstanding dispute with Iraq’s central government over its right to issue licenses to oil companies in the region.

“Although we would prefer Exxon to cancel its deal with Kurdistan, freezing the contract is a step forward,” the Wall Street Journal quoted an unnamed Iraqi oil official as saying.

ExxonMobil is already producing an estimated 370,000 barrels of oil per day from the West Qurna field in southern Iraq, under a service contract negotiated with Baghdad.

GJH/MF/HGL

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