A member of the Iraqi parliament's Oil and Gas Committee disclosed a new dispute between the Kurdistan Region and the federal government over oil exports after the KRG Ministry of Natural Resources and the Iraqi Ministry of Oil failed to meet. The Kurdistan Region is demanding that Dana Gas receive a portion of its oil in exchange for gas production and supply.

According to the federal budget law, the Kurdistan Region must supply 400,000 barrels of oil per day to SOMO; however, the region has claimed it can only produce 300,000 barrels and cannot supply the entire amount to Baghdad, Aso Faraidoon, a member of the Oil and Gas Committee, told Channel 8.

Faraidoon explained that while the Kurdistan Region and Baghdad had agreed to allocate 46,000 barrels of oil for domestic needs, the Kurdistan Region has now requested 69,000 barrels per day to supply Dana Gas in exchange for gas production and supply to meet government needs.

He said the Iraqi Oil Ministry has made it clear that this issue is outside its authority and is governed by the budget law.

Faraidoon also mentioned that, in addition to the new issue, the ongoing concern regarding the financial entitlements of oil companies and guarantees for future expenses remains unresolved, with the Oil Ministry stating that the decision lies with the federal government.

The Kurdistan Region’s oil exports have been suspended since March 2023, following a ruling from the Paris-based Arbitration Court in favor of the Iraqi federal government. KRG Prime Minister Masrour Barzani stated on November 16 that the suspension of oil exports has resulted in a $23 billion loss for the Kurdistan Region.