Political obstacles will block Iraqi Kurdish gas hopes

Significance

Ample gas reserves in the semi-autonomous Kurdistan Region of Iraq (KRI) could potentially help address energy shortfalls in Baghdad and Ankara. However, internal and external politics have constrained the sector’s development: current output does not even meet the KRI’s own needs.

Impacts

• Increased gas from Khor Mor will stimulate KRI industrial development.
• The EU will support efforts to export Kurdish gas as it seeks to replace Russian supplies.
• Poor relations between the KRI and its foreign oilfield operators will limit progress on monetising associated gas.