The parliament of Iraqi Kurdistan are debating the formation of new companies to oversee the regions oil production and marketing, according to the Kurdistan Regional Governments (KRG) Minister of Natural Resources Ashti Hawrami.
Legislation currently in parliament will set up the framework for Kurdistan Exploration and Production Company (Kepco), a national company, said Hawrami.
This body will be tasked with managing all Kurdistan oil and gas interest in the production sharing contracts we have with international oil companies (IOCs) in the region, said the minister, speaking at the Iraq Petroleum conference in London on 9 June.
Hawrami said the KG recently passed the revenue management lraq, initiated by the Ministry of National Resources (MNR) to process and account for all oil revenues in the region.
The law also accounts for the establishment of a sovereign wealth fund to invest in future generations.
In addition, the establishment of a new Kurdistan Oil Marketing Company (Komo) will be debated in parliament later this year. This could be sister company to Baghdads Oil Marketing Company (Somo) and take the responsibility of marketing oil produced in Iraqi Kurdistan.
We believe the monolithic and powerful oil ministry should be a thing of the past it does not represent citizens well, said Hawrami. Kepco will be managed independently from MNR. The ministry will be the chief regulator rather than practicing in the industry itself.