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Rosneft, Iraq's Kurdistan Sign Deal

Rosneft, Iraq's Kurdistan Sign DealRosneft, Iraq's Kurdistan Sign Deal

Russian oil major Rosneft will invest in gas pipelines in Iraq’s Kurdistan, expanding its commitment to the region ahead of its independence vote to help it become a major exporter of gas to Turkey and Europe.  Kurdistan has been exporting oil independently from the central government in Baghdad since 2014 and Kremlin-controlled Rosneft joined the list of buyers this year, lending the semi-autonomous region hundreds of millions of dollars in loans guaranteed by future oil sales, Reuters reported. Now Rosneft is widening its investments to gas by agreeing to fund a natural gas pipeline in Kurdistan, Rosneft and the Kurdistan Regional Government said on Monday. Two sources close to the deal said investments would amount to more than $1 billion. Erbil, the seat of KRG in northern Iraq, faces a budget crisis caused by low oil prices.

 

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