APIKUR Spokesman Told Channel8 They Haven’t Received Official Notice on Oil Production Cost Increase in Kurdistan

The Association of the Petroleum Industry of Kurdistan (APIKUR)

The Association of the Petroleum Industry of Kurdistan (APIKUR) has not yet received official notification from the Iraqi Oil Ministry about the increase in oil production costs in the Kurdistan Region, even though the increase was approved more than two months ago.

On November 5, 2024, the Iraqi Council of Ministers approved an amendment to Article 12 of the Iraqi budget, raising the cost of oil production from $6 to $16.

APIKUR spokesman Myles Caggins told Channel8 that they have not been officially informed and only learned about the increase from the media. “The increase in production costs requires a scientific assessment and must be in line with the reality of the oil fields,” he said.

Caggins noted that each company operating in the Kurdistan Region has different operational policies and contracts with the Kurdistan Regional Government, so any decisions should be made in consultation with the companies.

He also expressed that discussions between the Kurdistan Regional Government and Baghdad are essential to ensure the payment of companies’ financial entitlements, stating that the $1 billion debt of companies, along with their future financial entitlements, should be “away from the political struggle between the two governments.”

APIKUR, which consists of eight major international oil companies and controls 60 percent of Kurdistan’s oil production, had previously received $26 per barrel from the Kurdistan Regional Government (KRG).

However, since the suspension of oil exports from the Kurdistan Region, APIKUR now produces 250,000 barrels of oil per day for local refineries.

The amendment to Article 12 of the Iraqi budget law is currently in the Iraqi Parliament, with the second reading of the bill held on December 13, 2025.