Kurdistan’s oil revenue fell nearly 20% in July to less than $400m as export loadings slipped and oil traders slashed their monthly prepayments to the Kurdistan Regional Government (KRG), according to Iraq Oil Report. KRG revenues from the oil sale via the Kurdistan pipeline network to the port of Ceyhan in Turkey was $461m, a decline in comparison to $561m in June. KRG received a total net income in July of around $390m, including $35m in new payment against the future lifting of crude oil.
The KRG’s Ministry of Natural Resources reported that the northern Iraqi province exported more than 14m barrels of crude oil in July, averaging slightly more than 450,000b/d. The price per barrel for Kurdish oil reached $32.53 within the month, informed Kurdistan24. The KRG pumped 510,800b/d in July through its pipeline to Turkey.
The cut of the Kurdistan regions budget share by the Iraqi central government in 2014 encouraged the Kurdish government to sell its oil independently, as the region faces financial crisis due to the decline in international oil prices and an ongoing conflict with Islamic State.