In a long-running dispute over the export of oil from the Iraqi Kurdistan region, a decision favored Baghdad in proceedings held at the International Chamber of Commerce in Paris. A television outlet close to the Iraqi oil sector reported the outcome, citing a representative from the country’s oil industry who confirmed the ruling.
The source indicated that Turkey has publicly stated it will comply with the arbitral decision concerning oil exports from Iraqi Kurdistan. He also noted that Ankara will not permit sales of Kurdish oil through the Turkish port of Ceyhan without approval from the Iraqi federal government in Baghdad.
The arbitration case has stretched over nearly a decade, with Baghdad filing a suit after the Turkish state energy company, BOTAŞ, began exporting Kurdish oil to the global market without formal consent from the Iraqi central government. The parties have argued that upstream approvals and national sovereignty must align for any cross-border exports to proceed.
Iraqi Kurdistan, an autonomous region within Iraq, lies along the border with Turkey. The security and logistics surrounding oil flows have remained a focal point as regional authorities seek clarity on constitutional authority, revenue sharing, and state control over strategic resources. Reports from 2022 also noted continued military activity in northern Iraq, underscoring the broader stability concerns that influence energy policy in the area. The evolving situation has implications for regional markets, international trade partners, and the dynamics between the Kurdish regional authorities and Baghdad. At the core is a question of how constitutional authority interacts with long-standing commercial interests and the role of international arbitration in resolving such disputes.