The Kurdistan Regional Government (KRG) and the federal Iraqi government have come to an agreement to cut oil output in line with a new deal between top oil producers to lower global supply, according to Kurdistan24.
The announcement came following a meeting between Kurdish and Iraqi oil ministry officials in Baghdad. The meeting resulted in the Kurdistan government agreeing to provide the ministry with monthly reports on oil production.
Iraq has agreed to cut its production by 23% from the month of May onward.
On average Iraq pumps 4.5 million barrels of oil per day (mmbbl), a portion of which is from the KRG. It is unclear by how much the KRG has agreed to reduce its output.
Kurdistan Minister of State Khalid Shwan stated that “Kurdistan is still obligated to send [the Iraqi government] 250,000 barrels of oil per day as part of our deal with Baghdad.”