Second Tanker of Kurdish Oil Leaves Turkey Despite Baghdad Protest

Posted by Eric Haun
Monday, June 09, 2014

A second shipment of Iraqi Kurdish crude has sailed from the Turkish port of Ceyhan, industry and government sources said, increasing the stakes in a battle with Baghdad over control of oil sales from the autonomous region.

The United Emblem suezmax tanker, carrying 1 million barrels of crude, sailed from the harbour on Turkey's Mediterranean coast on Monday, Reuters AIS Live ship tracking showed.

The shipment is the second to leave Ceyhan in three weeks after arriving by pipeline. At least 2 million barrels of Kurdish crude are now at sea, despite protests from Baghdad that only the central government has the right to sell Iraqi oil.

The Kurdish Regional Government has said the oil shipments are designed to show Baghdad it will exercise control over its own oil sales, but so far it has failed to find a buyer for its first tanker shipment, which left Ceyhan over two weeks ago.

Neither Kurdistan's Ministry of Natural Resources nor a spokesman for the regional government was immediately available to comment. Oil ministry officials in Baghdad were also not immediately available.

The Hunt for Buyers
Last week the first tanker, the United Leadership, sailed away from Morocco after the North African country declined to let the vessel unload its 1-million-barrel crude cargo at the Mohammeddia refinery.

Italy has also warned oil traders they face potential legal action if they buy the Kurdish crude, after discussions with the Iraq central government at its embassy in Baghdad.

The regional government originally said the oil would be sold to German or Italian refiners, but so far the United Leadership has not sailed towards those destinations. On Monday, it remained about 30 miles (48 km) off the Moroccan coast.

The United Leadership and the United Emblem are listed in tanker tracking as "For Orders", an industry term indicating that a final buyer of the crude has not yet been arranged.

Until last month, Kurdish oil exports were constrained to a small volume sent by truck to two Turkish ports on the Mediterranean. Iraq's state marketer made threats of legal action but did not follow through.

But the start of deliveries on a new Kurdish pipeline that currently pumps around 100,000 barrels per day to Ceyhan means significantly higher revenues for the region.

Iraq and Kurdistan have been trying to reach a political agreement over oil sales, but five months after the pipeline started up there had still been no final decision, prompting the regional government to go it alone.

Kurdish crude stored at Ceyhan had reached 2.8 million barrels at the end of last week, Turkish Energy Minister Taner Yildiz said on Friday.

(By Orhan Coskun and David Sheppard; Additional reporting by Humeyra Pamuk in Istabul, Isabel Coles in Erbil and Ahmed Rasheed in Baghdad; Editing by Dale Hudson)

Maritime Reporter June 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Tanker Trends

Iraq's Kurds Have Right to Sell Oil While Squeezed by Baghdad

Iraq's Kurdish region has the right to keep selling oil as long as the Baghdad government keeps cutting its budget, the head of the Kurdish parliament's energy committee said on Tuesday,

Petroecuador Tenders to Buy 3.84m bbls of Naphtha

State-run oil company Petroecuador has launched tenders to buy a total volume of 3.84 million barrels of naphtha for delivery in the coming month at Esmeraldas,

Floating Production: $1.2b Speculative FLNG Ordered

The floating production business continues to be very strong, particularly in the LNG gas processing sector.  Last month saw a speculatively ordered floating liquefaction plant – a $1.

Energy

Iraq's Kurds Have Right to Sell Oil While Squeezed by Baghdad

Iraq's Kurdish region has the right to keep selling oil as long as the Baghdad government keeps cutting its budget, the head of the Kurdish parliament's energy committee said on Tuesday,

Petroecuador Tenders to Buy 3.84m bbls of Naphtha

State-run oil company Petroecuador has launched tenders to buy a total volume of 3.84 million barrels of naphtha for delivery in the coming month at Esmeraldas,

Company Fined for Oil Spill Near Anacortes

Ecology issues $112,500 penalty for sunken vessel.   American Gold Seafoods faces a $112,500 penalty for an oil spill caused by the accidental sinking of its vessel,

News

Huge Waves Measured for First Time in Arctic Ocean

As the climate warms and sea ice retreats, the North is changing. An ice-covered expanse now has a season of increasingly open water which is predicted to extend

Messer's CEO Norville Announces Retirement

Bill Heller to assume the position as Messer Cuttings Systems’ President and CEO Gary Norville started at Messer Cuttings Systems Inc. in September 1980 selling and installing cutting machines.

Charter Boat Crew Rescued in Gulf of Mexico

U.S. Coast Guard search and rescue crews worked throughout the night to find a missing charter boat with four people aboard as far as 70 miles off Galveston. A

Logistics

Iraq's Kurds Have Right to Sell Oil While Squeezed by Baghdad

Iraq's Kurdish region has the right to keep selling oil as long as the Baghdad government keeps cutting its budget, the head of the Kurdish parliament's energy committee said on Tuesday,

Diana Containerships Q2 & 1H 2014 Financial Results

Greece-based Diana Containerships Inc., a global shipping company specializing in the ownership of containerships, has reported net income of $0.6 million for the second quarter of 2014,

Mercator Lines Profit Hit by Low Bulk Freight Rate

Mercator Lines (Singapore) reported a revenue of US$ 16.5 million for Q1 2015, an increase of 19% as compared to correspoding period in the previous previous year, however a net loss of US$ 7.

Middle East

USNS Ship Rescues Nine in Gulf of Oman

'USNS Richard E. Byrd' (T-AKE 4), a Lewis and Clark-class dry cargo ship, rescued 9 crew members from a Yemeni-flagged cargo vessel 'Asaed' that had lost power,

Iraqi Kurdish Oil Nears US Port Despite Concern in Washington

A tanker carrying crude oil from Iraqi Kurdistan is just one day away from arriving at a U.S. port, according to ship tracking satellites, despite Washington's

Abu Dhabi Ports Shift Far More Breakbulk Cargo

Abu Dhabi Ports Company (ABPC) says that general cargo moving through Abu Dhabi’s commercial Ports has increased by 37% this year. ADPC’s commercial ports (Musaffah,

 
 
Maritime Security Maritime Standards Navigation Offshore Oil Pipelines Port Authority Salvage Ship Electronics Shipbuilding / Vessel Construction Winch
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1644 sec (6 req/sec)