Iraq’s semi-autonomous Kurdistan Regional Government (KRG) brought in $3.79bn in oil revenues in 2Q22, the highest quarterly figure in more than five years. Rampant oil price gains more than offset the fallout from the February decision of Iraq’s Supreme Court which ruled the KRGs’ oil sector unconstitutional (MEES, 18 February). The KRG adamantly rejects this ruling.
Gross revenues rose by $730mn from the previous quarter’s $3.06bn (MEES, 29 July), with the gains driven by a 30,000 b/d increase in liftings from Turkey’s Ceyhan port to 418,000 b/d (a one-year high) and higher realized prices. Prices pushed past the $100/B mark for the first time to average $100.38/B over Q2, despite a considerable geopolitical risk discount. The discount to the chemically-identical Kirkuk grade marketed by Federal Iraq’s government averaged $10.52/B for Q2 (see chart 1). (CONTINUED - 1095 WORDS)
