Iraq/Kurdistan: World Oil Slump Limits Appetite for Kurdish Crude

Oct 14, 2014 | Sharmila Devi, Rudaw
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ERBIL, Kurdistan Region - A slump in the world price of oil is adding to the woes of the Kurdistan Regional Government, where the fight against Islamic State militants and the burden of harbouring refugees is putting strains on the local economy.

Benchmark Brent crude this week fell to less than $88 a barrel, its lowest level since 2010.

All producers are feeling the pinch. However, the low price is a particular threat to the KRG because it undercuts its strategy of pursuing independent oil exports, according to Richard Mallinson, geopolitical analyst at Energy Aspects in London.