Iraq Declares $110bn US-Kurdistan Energy Deals Null and Void

The Kurdistan Regional Government (KRG) announced $110 billion energy deals with U.S. firms HKN Energy and WesternZagros for developing gas fields in northern Iraq, including Miran and Topkhana-Kurdamir. These agreements were declared "null and void" by Iraq's Oil Ministry, which argued that natural resource investments must be approved by the federal government in adherence to the constitution. The deals intensified longstanding disputes over resource control between Baghdad and the semi-autonomous Kurdish region, especially following a 2022 federal court ruling that deemed the Kurdish oil and gas law unconstitutional and required Kurdish authorities to hand over crude oil supplies. KRG officials defended their position, citing the legality and validity of previous contracts upheld by Iraqi courts and noting that recent changes involved only operating companies within existing agreements. However, Baghdad criticized the deals for being signed without federal consultation, complicating efforts to resume Kurdish oil exports through Turkey. The controversy highlights ongoing tensions over regional autonomy versus central government authority in Iraq's energy sector.