Iraq Reserves Right to Sue over Oil Exports

Iraq's State Oil Marketing Organization (SOMO) has issued a statement suggesting it will take legal action against companies exporting crude oil without dealing with the central government, including the confiscation of cargoes and the filing of lawsuits against sellers, buyers and transporters.

The statement reads as follows:

"In accordance with the provisions of Laws No. 101 of 1976 and 272 of 1987, the Iraqi Ministry of Oil announces that the Oil Marketing Company (SOMO) is the sole legally authorised entity that has the exclusive right to export and import crude oil, gas and oil products from/to Iraq.

"Consequently, the Iraqi Ministry of Oil and SOMO, as its affiliate, shall reserve the right to take all legal actions against any company or entity that may deal with bodies other than SOMO, in addition to the confiscation of cargoes smuggled across borders as well as suing sellers, purchasers and transporters of such cargoes inside and outside Iraq."

Earlier this month, Genel Energy started exporting crude oil by truck directly into Turkey from its Taq Taq oil field in Iraqi Kurdistan, after official exports from the region were halted until the federal authorities pay the 350 billion dinars ($300 million) dues owed to international companies working in the Kurdish area.

(Sources: SOMO, Reuters, Associated Press)

4 Responses to Iraq Reserves Right to Sue over Oil Exports

  1. [...] Iraq Reserves Right to Sue over Oil Exports. Iraq Reserves Right to Sue over Oil Exports [...]

  2. Lorenzo 14th January 2013 at 18:13 #

    And what should the IOC's do when Baghdad do not pay their exports? Mind that SOMO hve received the moneys from exporting kurdish oil but do not honor the IOC's bills.

    And then some people wonder why IOC's shun Baghdad

  3. Mustafa 14th January 2013 at 19:35 #

    Yeah, The Iraqi Central Government is doing everything perfect, without any mistake, all the electrical, infrastructural and networking services are great. All of the IOCs are very pleased to work at south of Iraq, everyday they are thanking to the government...

    Wake up and think why the hell everybody is going to North Iraq? Because they have a working system and a helpful government. You are demanding too many things and always asking..But what have you done??You are doing nothing and just suffering all the time. These Iraqi cabinet is based on very low profile people and just doing politics through religious ideas and connections.. Maliki or other ministers do not care the Iraqi people. You already made billions from bribes, just leave and open the way of the Iraqi people, they are very poor..

  4. Lorenzo 15th January 2013 at 13:11 #

    Dear Mustafa,

    Perhaps the root to the incompetence in the Iraqi ministeries is due to the forge of academic titles that the IG's found out for some years ago in order to put people from the right party or clan on top of the most prestigious and powerful jobs in the ministeries, no matter if they could read or knew something about state government.
    The most important was to be at the free bar with immunities at the Parliament and take a part of the Iraqi pie


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