Iran shuts border to oil tankers from Kurdistan; KRG could evoke powers to remove GKP as operator of Shaikan

Oil tankers in limbo show Kurds losing access to U.S. market ReutersBy By David Sheppard and Terry Wade | Reuters – 8 hours ago ShareTweet Print By David Sheppard and Terry Wade LONDON/HOUSTON (Reuters) - U.S. refiners will refrain from buying more Kurdish crude oil until a long-running dispute between Baghdad and Iraqi Kurdistan is settled, while Washington urges both sides to set aside their differences and helps them tackle Sunni militants. The two known U.S. buyers of Kurdish crude oil have now rejected delivery of cargoes from tankers near New Jersey and Texas, saying they will not make further purchases until it is determined who has the right to sell the oil: the central government of Iraq or the Kurdistan Regional Government (KRG). U.S. refiner Axeon Specialty Products was the latest company to turn away a cargo of Kurdish crude oil on Monday. It balked after Baghdad filed a lawsuit over a cargo slated for another U.S. refiner, LyondellBasell NV . "In light of the dispute over the rights to sell crude oil originating from the Kurdish region of Iraq, Axeon will not purchase or accept delivery of any of the affected crude oil until the matter is appropriately resolved," the company said. Now the tankers, the Minerva Joy and the United Kalavrvta, are stuck in limbo, anchored in U.S. coastal waters as they wait out the controversy, Reuters ship tracking data shows. Washington, which has been pushing both sides to reach a deal over oil sales since the start of the year, has stopped short of banning U.S. companies from buying Kurdish crude but warned they may face legal tangles with Baghdad. The impasse over oil sales has become symbolic of the future of Iraq. While the KRG needs revenues to fund its fighters and tackle a growing refugee crisis, Baghdad fears independent oil sales will finance a breakaway Kurdish state. The United States has urged unity and last week launched air strikes against Islamic State militants who have seized a third of the country and defied Baghdad and the Kurds. The White House on Tuesday said Iraqi Kurdish President Masoud Barzani had pledged to work with Iraq's new leader, Haider al-Abadi, who is due to replace Prime Minister Nuri al-Maliki. Abadi called on politicians to end crippling feuds. But analysts said a deal over oil would be difficult to reach. "Until the legal dispute is resolved it seems unlikely the Kurds will be able to find U.S. buyers willing to take cargoes," said Richard Mallinson at Energy Aspects in London. "It is not yet clear that the KRG and a new federal government will be able to set aside their disagreements and reach a deal over Kurdish oil exports any time soon." In total, almost $140 million worth of Kurdish oil sales have been blocked off the U.S. coast since July. A tanker carrying another $100 million (£59.47 million) of Kurdish crude has been stuck off Morocco for more than two months. Before the latest chapter of the dispute, at least five cargoes of Kurdish crude were delivered on U.S. soil this year, all of them going to ports in Houston and Paulsboro used by LyondellBasell and Axeon. (Additional reporting by Marianna Parraga; Editing by Tom Brown) ========================= Iraq lays claim to Kurdish crude cargo in Texas court Mon, Jul 28 19:26 PM EDT HOUSTON (Reuters) - Iraq filed suit on Monday in a Texas court to gain control of a cargo of crude oil from Iraqi Kurdistan that Baghdad says was sold without its permission. The United Kalavrvta tanker, carrying some 1 million barrels of crude worth about $100 million, arrived off the coast of Texas on Saturday but has yet to unload its disputed cargo. The ship, which is too large to enter the port of Galveston near Houston, was given clearance by the U.S. Coast Guard on Sunday to transfer its cargo offshore to smaller boats that would deliver it to the U.S. mainland. Iraq, in its filing in U.S. District Court for the Southern District of Texas, asked for an order allowing the cargo to be seized by the U.S. Marshals Service. Sale of Kurdish crude oil to a U.S. refinery would infuriate Baghdad, which sees such deals as smuggling. The U.S. State Department has expressed fears that independent oil sales from Kurdistan could contribute to the breakup of Iraq, said the oil belongs to all Iraqis, and warned potential buyers of legal risks. But it has also made clear it will not intervene in a commercial transaction. AET Offshore Services, a company in Texas hired to unload the tanker, asked in a separate court filing in U.S. district court on Monday if Iraq's claims were valid. The court filings did not name the end-buyer of the cargo. AET Offshore is an intermediary. Piecemeal oil exports have gone from Iraqi Kurdistan to Turkey and Iran by truck in the past, which Baghdad also opposed. But the opening of a new pipeline to Turkey earlier this year, which could supply the Kurds with far greater revenues, has met much fiercer opposition from Baghdad. One cargo of Kurdish crude was delivered in Houston in May to an unidentified buyer, and four other cargoes of Kurdish crude have been delivered so this year in Israel. The case is Ministry of oil of the Republic of Iraq v. Ministry of Natural Resources of Kurdistan Regional Governate of Iraq et al, U.S. District Court, Southern District of Texas, No. 3:14-cv-00249 (Reporting by Jonathan Stempel in New York, David Ingram and Rebecca Elliott in Washington, and Terry Wade, Anna Driver and Erwin Seba in Houston; Editing by Lisa Shumaker) ===================== Islamic State says carried out Baghdad suicide bombing Wed, Jul 23 08:06 AM EDT image BAGHDAD (Reuters) - Islamic State militants claimed responsibility on Wednesday for an overnight suicide bombing in a Shi'ite district of Baghdad which killed 33 people, one of the deadliest recent attacks in the Iraqi capital. The hardline Sunni Islamist group which has led an offensive through northern and western Iraq said the explosion in Kadhimiya, site of a major Sh'ite shrine, was carried out by a fighter it named as Abu Abdul-Rahman al-Tunisi (the Tunisian). Officials initially put the death toll from the bomb at 23, but hospital and morgue officials said on Wednesday morning it had risen to 33, with more than 50 wounded. The Islamic State has claimed responsibility for a wave of bombings in Baghdad, including several blasts on Saturday which killed 27 people. Sunni fighters led by the Islamic State swept through most of Iraq's Sunni Muslim provinces towards Baghdad last month, their advance halted less than 100 km from the capital. Government forces launched a counter-offensive a week ago to recapture Tikrit, home city of executed former president Saddam Hussein, but withdrew within hours after coming under fierce onslaught from the militants. On Wednesday morning an air strike by government forces on a civilian neighborhood in the town of Sharqat, north of Tikrit, killed 12 people, a hospital source said. Security forces also found the bodies of eight Iraqi soldiers 3 km (2 miles) outside Samarra, the most northern city under full government control. (Reporting by Raheem Salman; Writing by Dominic Evans; Editing by Michael Georgy and Andrew Heavens) ====== So anyone know what Gen Fadhil Barwari, Iraq's counterterrorism commander, is doing in Erbil? Saw him this evening at a hotel lobby chilling Oil ministry threatened to pull the plug on Gulf Keystone's star asset The Kurdistan Regional Government was so concerned by the damaging boardroom leaks to the press it threatened to end the Shaikan partnership. Chairman Simon Murray says Gulf Keystone can achieve 40,000 BOPD by the end of the year Photo: BUDDY MAYS Harriet Dennys By Harriet Dennys, City Diary Editor6:00AM BST 21 Jul 2014 Gulf Keystone chairman Simon Murray has revealed how the oil company came close to losing its most lucrative asset thanks to the “considerable discord” on the board. The share price-damaging leaks, which Mr Murray described as “self-inflicted wounds”, related to this month’s departure of CEO Todd Kozel, who was unpopular with a number of institutional shareholders. Mr Murra

Mr Murray told the Daily Telegraph that the Kurdistan Regional Government (KRG), which is effectively a 45pc shareholder in Gulf Keystone’s Shaikan oilfield in Iraqi Kurdistan, was so concerned by the damaging boardroom leaks in recent months that it threatened to end the company’s most significant profit-sharing partnership. y warned shareholders at last Thursday’s annual meeting: “They [the leaks to the press] have caused huge concern to our host government, who have repeatedly requested me to make the changes at board level to ensure that this is stopped. “Indeed, the KRG has made it clear that, if we do not get our house in order, they will remove us as operators of this fantastic Shaikan asset.”

Why Gulf Keystone conspirators had to fall on their swords 20 Jul 2014 Gulf Keystone activists seek reshuffle 04 May 2014 Gulf Keystone Petroleum remains a sell 29 Jun 2014 The right recipe for triumphing against the odds PCF Thomas Shull, Jeremy Asher and John Bell resigned as non-executive directors of Gulf Keystone in June. The company has subsequently drawn up a shortlist of new non-execs, whom Mr Murray says can “bring great value and … give us the best of themselves, which, sadly, has not been the case in the last year.” Drawing a line under the “embarrassing” in-fighting, Mr Murray told the Daily Telegraph: “The board has made the changes we feel necessary to bring harmony to the team.” Mr Murray also revealed that the long-running oil payments dispute between Kurdistan and Southern Iraq is on course to be resolved, easing Gulf Keystone’s cash flow from the KRG. He said: “By the end of this year, Kurdistan will be ... well on its way to economic independence, enabling them to pay us with greater regularity.” Mr Murray forecasts that Gulf Keystone’s oil production will rise from 24,000 to 40,000 BOPD by the end of 2014, and to 66,000 BOPD in 2015. The company will use the additional revenue to fund the development of its third Shaikan production facility. Gulf Keystone confirmed at last Thursday’s AGM that Mr Kozel will resign from the board but stay on as an officer to maintain the relationship of “trust” he has established with the KRG. Mr Kozel and his family remain a significant shareholder. ===================== Besieged Iraqi oil sector buoyed by southern expansion Besieged Iraqi oil sector buoyed by southern expansion A worker climbs a drilling rig at the Rumaila oil field. (BEN VAN HEUVELEN/Iraq Oil Report/Metrography) By Ali Abu Iraq, Ben Lando and Staff of Iraq Oil Report Published Sunday, July 20th, 2014 Iraq is on track for a strong month of oil sales, as southern fields increase output into revamped export infrastructure.The success of the southern oil sector to date has been essential, partly compensating for the loss of nearly all Iraqi production and refining capacity north of Baghdad, following a massive insurgent offensive led by the Islamic State of Iraq and al-Sham (ISIS). Making good on growth plans will be equally as important."Currently our output is estimated at 3.15 million... ========================= Five car bombs in Baghdad kill 26: police, medics Sat, Jul 19 08:26 AM EDT BAGHDAD (Reuters) - Five car bombs killed 26 people in mostly Shi'ite Muslim neighborhoods in Baghdad on Saturday, police and medics said. The first explosion, a suicide car bombing, killed seven people at a police checkpoint in the Abu Dsheer district in the south of the capital, the sources said. Four other car bombs killed a total of 19 people: one in the Bayaa district in southwestern Baghdad, one in the western district of Jihad and two in northern Baghdad's Kadhimiya, which boasts a major Shi'ite shrine. The army and allied Shi'ite militia are trying to push back Sunni insurgents who swept through northern Iraq last month to within 70 km (45 miles) of Baghdad. Militants fought off an army offensive to retake the northern city of Tikrit on Tuesday. The army was forced to pull back south of the city on the banks of the Tigris. The fighting has exacerbated a political crisis in Baghdad, where Shi'ite caretaker Prime Minister Nuri al-Maliki is trying to form a government in the face of opposition from Sunnis, Kurds and some Shi'ites, three months after Iraq held a parliamentary election. Iraq's Shi'ite clergy as well as Western powers have pressed politicians to overcome their deadlock and agree a new unity government to help tackle the insurgency and prevent Iraq from splitting down ethnic and sectarian lines. (Reporting by Raheem Salman; Editing by Louise Ireland) ==================== Iran shuts border to oil tankers from Kurdistan Tankers carrying crude oil from Kurdistan queue at that Parwezkhan border crossing in Diyala province, Nov. 6, 2013. (PATRICK OSGOOD/Iraq Oil Report) By Patrick Osgood, Andy Watkins and Mohammed Hussein of Iraq Oil Report Published Friday, July 18th, 2014 Iranian authorities have shut the border to tanker trucks from Iraq's autonomous Kurdistan region, cutting off a major avenue for oil sales. The ban, put in force on July 10, may complicate the Kurdistan Regional Government's (KRG) efforts to achieve economic independence, and also represents a setback for producing companies that need to sell their oil. At times, Iran had been providing a route to market for more than a quarter of the region's oil production. The ban covers all trucks ca... ISIS earning $1M per day from Iraqi oil smuggling ISIS earning $1M per day from Iraqi oil smuggling Hundreds of tankers wait to cross into Iran in one of several lots near the Parwezkhan border crossing in Diyala province, Nov 6, 2013. The fuel and oil trade has long been active. (PATRICK OSGOOD/Iraq Oil Report) By Mohammed Hussein, Christine van den Toorn, Patrick Osgood and Ben Lando of Iraq Oil Report Published Wednesday, July 9th, 2014 Since invading huge swaths of northern and central Iraq, the Islamic State of Iraq and al-Sham (ISIS) has been smuggling increasing amounts of crude scavenged from Iraq's stricken oil infrastructure to buyers in the Kurdistan region, earning the extremist group an estimated $1 million per day.The first truckloads of ISIS-controlled crude arrived in Tuz Khurmatu, a mixed population town with a large Turkomen contingent that has long been at the epicenter of ethic and administrative tension, ... = EDITOR'S NOTE: This story has been updated from its original version to include the Oil Ministry's official response to the KRG and the full text of both press releases, as well as a translation of the Iraqi Federal Supreme Court's June 24 decision. ERBIL – Iraq's autonomous Kurdistan Regional Government (KRG) celebrated a June 24 decision of the Federal Supreme Court of Iraq, which declined to issue a temporary ban on independent Kurdish oil exports.The court did not rule on the questi... =========== http://www.iii.co.uk/investment/detail?display=discussion&code=cotn:GKP.L From Another Place, All makes sense to me As I said to Gulliver earlier tonight "The Plan was looking good until the sackings that sort of put a spanner in the works don't you think. It's hard to get control of a company from the inside when you are on the outside " From Another Place, ----------------------------------------------------------------------------------------------- Ewen Ainsworth wasn't "sacked". Putting that to one side, the above analysis seems pretty much correct. It is arguably the case that the intention was also to remove John Gerstenlauer; study of the #s of votes cast can give a pointer. And one of Jeremy Asher's chums called me two weeks ago and told me that, once Todd Kozel was removed, Simon Murray would be forced out as well. So that could have left NO EXECUTIVE DIRECTORS, and just Guthrie and Simon facing the four 'M&G' NEDs. Er...er... Fill the gaps urgently! 1. Jeremy Asher becomes Chairman 2. Thomas Shull becomes Deputy Chairman 3. John Bell becomes CEO 4. Phil Dimmock becomes COO 5. the new board appoints more NEDs to fill the resultant gaps. Something like that? But it went all pear-shaped.....with the sackings Just a mull ------------------------------------------------------------------------------------------------------------ Gulliver and ILS any thoughts? Arundallio ----------- Q: What does the Board think of the MNR spokesman Michael Howard’s letter in the Sunday Times, saying that the KRG could evoke powers to remove GKP as operator of Shaikan. Do you believe that this threat could materially effect the price GKP could achieve for a sale of its stake in Shaikan?

SM – The KRG do have the right/power to remove a contractor if they feel that they are not performing to their wishes, and so on. That letter in the Sunday Times was actually pretty clear on that. We have to show the KRG that we are acting properly, and in harmony, not damaging things by our own self inflicted wounds. If they feel that we are making a mess of developing the asset, then they can remove us. That threat is real. The relationship that we have with them – I refer to Todd’s 10 years, and so on. I see the Minister as well, as do other Directors. In fact 3 of our Directors have recently visited the KRG. Yes, he means business. I think we are OK. We have got to get it right. It [the threat] is out there.

================== Among many interesting #Iraq presidency candidates is Hanan al-Fatlawi, an outspoken female MP of PM Maliki's bloc http://www.alghadeer.tv/news/detail/16708/ …

For the First Time in Iraq, a Large Field of Presidential Candidates by Reidar Visser With reports about a large field of candidates, it is very hard to see how due process can be adhered to if indeed an attempt to elect the president will indeed go ahead on Wednesday. The legal adviser of Prime Minister Nuri al-Maliki, Tareq Harb, has suggested that adherence to the timelines of proper vetting and appeal possibilities would take us to August before the president could be voted on. By way of contrast, though, at a presser today, the new parliament speaker, Salim al-Jibburi, nonetheless seemed to indicate that a vote would go ahead, which seems legally problematic. Of course, in general terms, the multiplication of presidential candidates seems to be a good thing for Iraq’s democracy. There has been a stark contrast between the official discourse of a contest that is open to all (with potential contestants ranging from those who protest the ethno-sectarian spoils system to those who think the presidency should go to particular ethnicities), and what many believed was the real decision-making process: A debate about which member of the Kurdish PUK party should have the job, maybe with the president of the Kurdish region as supreme arbiter. Eventually, though, even the PUK came up with more than one candidate as both Fuad Masum and Barham Salih registered for potential election.

============ While on holiday, searched the news and thought this was interesting naming Shaikan oil buyer in US as LyondellBasell Mystery Buyer of Kurdish Oil Revealed Posted on 31 July 2014. Tags: BP, Chevron, Exxon, ExxonMobil, KRG, Kurdish Independence, Kurdistan, LyondellBasell, oil exports Mystery Buyer of Kurdish Oil Revealed After months of remaining out of public knowledge, the buyer of Kurdish oil in America has been revealed. The chemical firm LyondellBasell purchased two tankers worth of Kurdish oil in May. The shipments totaled nearly 533,000 barrels of oil and at the time did not result in any legal action. Data retrieved from the U.S. Energy Information Administration (EIA) revealed that the chemical make up of the crude oil from those two shipments matched characteristics of oil from the Shaikan field in Kurdistan. Over the past two years the Kurdistan Regional Government (KRG) has sold almost 20 million barrels of oil. Kurdistan continues to have bases of operations for many major oil companies including Chevron, BP, and ExxonMobil. (Source: Reuters) ===================

Important pic for anyone interested in #Iraq politics: PM Maliki meeting w/ head of Iran NSC Shamkhani on Friday . Presence of interpreter at Maliki-Shamkhani meeting is amusing since Shamkhani, while Iranian, is of Arab origin from Basra border area #PT. Grand Ayatollah Sistani today met Ali Shamkhani, head of Iran's NSC. Sistani rarely meets high #Iran officials Reidar Visser @reidarvisser · Jul 19

So we're back where I started buying at 5 years ago... great! Wow, what a journey...learnt so much... the hard way. Have to say this company is depressing to me now. I have always said that I have time, and will just ride it out to maximum value, and I always said that I thought we were 'years' away from achieving that... but over the last year or so, lots of little things come out, or come to realisation, that I have been a little mugged off. I am definitely no longer the fan of Mr Kozel that I once was, that's for sure. if I had the balls, I would start trading GKP. I don't see any reason why it won't trickle down to 70p, or even 60p, while no positive news comes out, and while the mess in Iraq isn't resolved, but that is literally gambling, (...yeah, yeah, I know 'any' investment is a gamble of sorts, but I mean in the traditional sense...) and I just know that the moment I hit the sell button, some positive bit of news will come out and I'll be stuffed. I'm sure trading is very thrilling, but for me to do it, would be just reckless and daft. And so, while I don't need the money desperately, I'll be sticking to my plan, of riding it out over the years, watching the RNSs like a hawk, and hope that we actually fulfil the goals of getting into full production, with a decent open BoD, and that the politics in the region get sorted. It's been tough, these last few months... that CPR... the (ex) Top Dawg (still) not buying any shares in his own company after all this time...that effin CPR..etc. But still, no regrets, only lessons learnt!! This time next company, Rodders... Sorry, just the meaningless thoughts of a tired long-term investor in a company that's not been run too well thus far. Just had to get it off my mind! And if there's gonna be someone else going through the same as me, here's the place I'd find them! Good luck all...however you're playing the game. Steve. =========================== Tuesday, July 29, 2014 Iraq’s Southern Oil Industry Untouched By Insurgency But Technical Problems Continue While several small oil fields have fallen under the control of the Islamic State in northern Iraq the vast majority of the country’s reserves reside in the south and have been unaffected. In fact, new infrastructure recently opened that expanded the capacity for southern exports. That doesn’t mean output can’t continue to fluctuate like it always has. In June 2014 exports were down from May due to technical issues and an accident. Problems with docking tankers were the main reason why June exports decreased. Last month Iraq exported 2.423 million barrels a day compared to 2.582 million barrels in May. All of this output went through the southern Basra pipeline. There were troubles with docking tankers at the Basra and Khor Amaya oil terminals along with a tanker hitting a mooring point that temporarily took it off line. This was the third lowest output of the year after March’s 2.396 million and January’s 2.228. Iraq Oil Exports And Profits 2011-2013 Month Avg. Exports (Mil/ Bar/ Day) Avg. Price Per Barrel Revenue (Bill) Jan. 11 2.16 $90.78 $6.082 Feb. 2.20 $98.44 $6.064 Mar. 2.15 $107.13 $7.167 Apr. 2.14 $114.26 $7.342 May 2.22 $108 $7.47 Jun. 2.27 $105.17 $7.173 Jul. 2.16 $108.79 $7.311 Aug. 2.18 $104.91 $7.124 Sep. 2.10 $104.89 $6.619 Oct. 2.08 $104.04 $6.742 Nov. 2.13 $106.59 $6.833 Dec. 2.14 $106.18 $7.061 2011 Avg. 2.16 $105.00 $6.913 Jan. 12 2.10 $109.08 $7.123 Feb. 2.01 $112.92 $6.595 Mar. 2.31 $117.99 $8.472 Apr. 2.50 $116.79 $8.795 May 2.45 $103.03 $8 Jun. 2.40 $90.09 $6.453 Jul. 2.51 $97.14 $7.577 Aug. 2.56 $106.22 $8.445 Sep. 2.59 $107.59 $8.371 Oct. 2.62 $105.51 $8.578 Nov. 2.62 $104.32 $8.200 Dec. 2.34 $103.72 $7.551 2012 Avg. 2.41 $106.20 $7.846 Jan. 13 2.35 $104.92 $7.672 Feb. 2.53 $107.66 $7.644 Mar. 2.41 $103.76 $7.772 Apr. 2.62 $98.70 $7.764 May 2.48 $97.23 $7.477 Jun. 2.32 $97.40 $6.799 Jul. 2.32 $101.00 $7.272 Aug. 2.57 $104.45 $8.356 Sep. 2.07 $104.87 $6.511 Oct. 2.25 $102.57 $7.160 Nov. 2.381 $102.57 $7.324 Dec. 2.341 $102.89 $7.470 2013 Avg. 2.386 $102.33 $7.435 Jan. 14 2.228 $102.37 $6.454 Feb 2.799 $102.05 $7.159 Mar 2.396 $101.03 $7.429 Apr 2.509 $100.69 $7.582 May 2.582 $100.69 $8.077 June 2.423 $102.61 $7.47 Oil Exports Through Basra 2012-2013 January 2012 1.711 mil/bar/day February 1.639 mil/bar/day March 1.917 mil/bar/day April 2.115 mil/bar/day May 2.086 mil/bar/day June 2.085 mil/bar/day July 2.216 mil/bar/day August 2.252 mil/bar/day September 2.178 mil/bar/day October 2.172 mil/bar/day November 2.122 mil/bar/day December 2.022 mil/bar/day 2012 Avg. 2.042 mil/bar/day January 2013 2.093 mil/bar/day February 2.196 mil/bar/day March 2.1 mil/bar/day April 2.31 mil/bar/day May 2.19 mil/bar/day June 2.13 mil/bar/day July 2.32 mil/bar/day August 2.30 mil/bar/day September 1.90 mil/bar/day October 2.06 mil/bar/day November 2.281 mil/bar/day December 2.081 mil/bar/day 2013 Avg. 2.16 mil/bar/day January 2014 2.036 mil/bar/day February 2.507 mil/bar/day March 2.370 mil/bar/day April 2.509 mil/bar/day May 2.582 mil/bar/day June 2.423 mil/bar/day Oil Exports Through Kirkuk 2012-2013 January 2012 393,500 bar/day February 375,800 bar/day March 400,000 bar/day April 393,300 bar/day May 364,500 bar/day June 316,600 bar/day July 300,000 bar/day August 312,900 bar/day September 420,000 bar/day October 451,600 bar/day November 426,600 bar/day December 325,800 bar/day 2012 Avg. 373,300 bar/day January 2013 264,500 bar/day February 339,200 bar/day March 316,100 bar/day April 306,600 bar/day May 283,800 bar/day June 193,300 bar/day July 180,600 bar/day August 270,900 bar/day September 250,000 bar/day October 193,000 bar/day November 309,00 bar/day December 260,000 bar/day 2013 Avg. 264,200 bar/day January 2014 192,000 bar/day February 292,000 bar/day March 25,806 bar/day April 0 bar/day May 0 bar/day June 0 bar/day At the same time capacity at the southern ports just expanded. At the beginning of June a third single mooring point opened. That went along with a new metering platform that started working in May. The mooring points can’t all operate at the same time right now, but it does mean that there can be uninterrupted loading of tankers while repair and other work is being done, which has cut exports in the past. A fourth platform is scheduled to come on line by the end of the year. With the current added capacity Oil Minister Abdul Karim Luaibi announced in mid-July that production was around 3.15 million barrels and exports were over 2.6 million. The opening of the new mooring points come just as Rumaila, West Qurna 1 and 2, Zubayr, Halfaya, and Badra fields are expected to increase their output. This added production and capacity would help make up for the loss of the Kirkuk pipeline, which was knocked out of commission in March by an insurgent attack, and now mostly lies in militant hands. Ironically the summer insurgent offensive has raised oil prices. In June Iraqi crude sold for $102.61 per barrel, up from $100 per barrel in April and May. June was the highest price since December 2013’s $102.89. Iraq earned $7.47 billion in June as a result. That was down from May’s $8.077 billion however, because oil exports dropped. The continued fighting in Iraq and other unrest in the Middle East will likely keep crude prices up. The Oil Ministry is hoping that its exports will rebound in July. Early figures show that’s already happening. That doesn’t mean technical problems wont continue to occur in the future leading exports to fluctuate again. It can only be hoped that overall exports grow over the long run and oil prices stay at $100 per barrel or more since Baghdad needs as much money as it can get right now to pay for its on going security and refugee crisis. SOURCES Iraq, Ali Abu, Lando, Ben, “Besieged Iraqi oil sector buoyed by southern expansion,” Iraq Oil Report, 7/20/14 Lando, Ben, “Iraq oil exports drop in June,” Iraq Oil Report, 7/9/14 - “New Gulf infrastructure opens up export growth,” Iraq Oil Report, 6/4/14 Lando, Ben, Al-Najaf, Kamaran, “Iraqi exports rebound despite loss of northern pipeline,” Iraq Oil Report, 5/4/14 New Sabah, “”Oil” launches a new floating platform capacity of 800 thousand barrels per day,” 6/2/14 Republic of Iraq Ministry of Oil, “Iraq Crude Oil Exports – June 2014,” 7/24/14 Salaheddin, Sinan, “Iraq says crude oil exports rise slightly in May,” Associated Press, 6/1/14 Ynewsiq, “Decline in oil exports to 2.423 million barrels per day,” 7/3/14 Posted by Joel Wing at 8:29 AM ============================== Must have a buyer lined up. Fifth cargo of Kurdish crude oil from Ceyhan completes loading, heads south The tanker carrying the fifth cargo of Kurdish crude to load out of the Turkish port of Ceyhan is currently heading south through the eastern Mediterranean with a destination of Port Said in Egypt, according to Platts vessel-tracking software c-Flow. The crude tanker Kamari finished loading its cargo of 1 million barrels of medium sour crude from the Kurdish region of northern Iraq on Thursday. http://www.platts.com/latest-news/oil/london/fifth-cargo-of-kurdish-crude-oil-from-ceyhan-26848145 ========================== Fifth cargo of Kurdish crude oil from Ceyhan completes loading, heads south London (Platts)--1Aug2014/957 am EDT/1357 GMT The tanker carrying the fifth cargo of Kurdish crude to load out of the Turkish port of Ceyhan is currently heading south through the eastern Mediterranean with a destination of Port Said in Egypt, according to Platts vessel-tracking software c-Flow. The crude tanker Kamari finished loading its cargo of 1 million barrels of medium sour crude from the Kurdish region of northern Iraq on Thursday. Cardiff Tankers, owners of the Kamari, declined to comment. ==============