A technical delegation from Baghdad returned after meetings in the Kurdistan Region, while the KRG delegation also arrived in Baghdad. Baghdad demands a monthly transfer of 150 billion Iraqi dinars from the KRG’s internal revenues and the daily delivery of 280,000 barrels of oil through SOMO. In return, Baghdad will cover public salaries and oil company expenses.

Over two days, a technical delegation from the Iraqi government visited the Kurdistan Region and met with the KRG Ministry of Finance, the Ministry of Natural Resources, the Council of Ministers’ Presidency, and oil companies. The Iraqi delegation has now returned to Baghdad. Today, a delegation from the KRG’s Ministry of Natural Resources and the Council of Ministers arrived in Baghdad and held meetings with Iraq’s Ministry of Oil and SOMO, indicating progress toward an agreement.

According to follow-up information:

• The Iraqi government is requesting 50% of the KRG’s internal revenues. These revenues are estimated at 300 billion IQD monthly, meaning the KRG must transfer 150 billion IQD monthly to Iraq’s Ministry of Finance.

• The KRG must export 280,000 barrels of oil daily through SOMO, and the revenue will go to Iraq’s Ministry of Finance.

• In return, Baghdad is expected to pay the salaries for May within this week and will pay June’s salaries after a final agreement is reached.

• For each barrel, $16 is allocated to oil production companies.

• With a global market price of approximately $65 per barrel, 280,000 barrels generate about $18.2 million per day, or 8.4 million barrels monthly would yield $546 million in monthly revenue.

• Out of this, $134 million is spent on production companies ($16 per barrel), meaning the Iraqi government retains about $412 million monthly.

• If the KRG were to sell the oil independently at its current price of $33 per barrel, the monthly revenue would be $277 million—$269 million less than selling through SOMO at global prices.