Kurdish old hands buffeted again

KRG producers face both global and local headwinds to their expansion plans. At least it’s not their first time round the block

Three of the longest-standing international oil producers in Iraq’s semi-autonomous Kurdish north are facing challenges arising from global market conditions, but also local difficulties too. Just like in 2014, it is a combination of physical issues with moving their product—six years ago in the form of invasion by so-called Islamic State—and a dramatic slump in global oil prices. Then as now, cheaper crude hit the firms not only directly but also through corollary delays in receiving reimbursement from the Kurdistan Regional Government (KRG), which is heavily dependent on oil revenues for financial health. Companies active in Kurdistan have reacted by hastily slashing capex guidance and pau