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Arab World

Iraq’s Kurdistan Works to Establish Two Oil Firms as Erbil-Baghdad Tensions Rise

A picture shows a view of the area around the citadel of Erbil, the capital of the autonomous Kurdish region of northern Iraq, as dust engulfs the sector on May 24, 2022. (AFP)
A picture shows a view of the area around the citadel of Erbil, the capital of the autonomous Kurdish region of northern Iraq, as dust engulfs the sector on May 24, 2022. (AFP)
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Iraq’s Kurdistan Works to Establish Two Oil Firms as Erbil-Baghdad Tensions Rise

A picture shows a view of the area around the citadel of Erbil, the capital of the autonomous Kurdish region of northern Iraq, as dust engulfs the sector on May 24, 2022. (AFP)
A picture shows a view of the area around the citadel of Erbil, the capital of the autonomous Kurdish region of northern Iraq, as dust engulfs the sector on May 24, 2022. (AFP)

Iraq's Kurdistan Regional Government (KRG) is working to establish two oil firms, the latest move in the battle between Erbil and Baghdad to control the oil sector in the semi-autonomous region.

The KRG's new oil firm KROC would specialize in oil exploration, while the second - KOMO - would focus on oil exports and marketing from the semi-autonomous region, a spokesperson said in a statement on Friday.

The regional government has presented the idea and discussed it with the federal government in Baghdad recently, the KRG spokesperson said in a statement.

The statement follows months of disputes between Erbil and Baghdad after a February federal court ruling that deemed the legal foundations of the Kurdistan region's oil and gas sector unconstitutional.

The oil ministry in Baghdad has since made fresh attempts to control revenue from the Kurdistan region, including summoning seven firms operating there to a commercial court on May 19. The firms were Addax, DNO, Genel, Gulf Keystone, HKN, Shamaran and WesternZagros.

The commercial court sitting has been postponed twice as some of the representation for these international oil firms did not have power of attorney, several sources told Reuters. The court session is due to resume on Monday, June 20.

As well as announcing plans to establish its own oil company in the Kurdistan region, the Iraqi oil ministry has ordered international lead contractors and subcontractors through Basrah Oil (BOC) and Iraq's national oil firm (Inoc) to pledge not to work on contracts or projects there.

Through letters sent on June 7 and 12, the firms were given three months to terminate existing contracts or projects in the KRG oil sector or face being blacklisted, according to two sources familiar with the matter.

The oil ministry is using two law firms - Vincent and Elkins and Cleary Gottlieb Steen and Hamilton - to help with gaining control of the KRG oil sector, according to two sources. Both firms have declined to comment.

The KRG has repeatedly rejected the federal court ruling. On June 5, the KRG's ministry of natural resources filed a civil suit against the minister of oil in Baghdad, Ihsan Ismael, for sending emails and letters to intimidate oil firms operating in the Kurdistan region and for interfering with the contractual rights of these firms and the KRG, according to a June 13 statement.

Also on June 5, the Erbil court of investigation ruled that the commercial court sessions against international oil firms must be brought to the Erbil court.

There have been years of attempts by the federal government to bring KRG revenues under its control, including local court rulings and threats of international arbitration.

The implications of the latest dispute are not fully clear as more than eight months since elections in Iraq, the formation of a government is still underway.

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Arab World

Hamas Sources Acknowledge Differences with Mediators on Disarmament Plan

Gunmen from Hamas’ Izz ad-Din al-Qassam Brigades in Nuseirat refugee camp, central Gaza, February 2025 (EPA)
Gunmen from Hamas’ Izz ad-Din al-Qassam Brigades in Nuseirat refugee camp, central Gaza, February 2025 (EPA)
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Hamas Sources Acknowledge Differences with Mediators on Disarmament Plan

Gunmen from Hamas’ Izz ad-Din al-Qassam Brigades in Nuseirat refugee camp, central Gaza, February 2025 (EPA)
Gunmen from Hamas’ Izz ad-Din al-Qassam Brigades in Nuseirat refugee camp, central Gaza, February 2025 (EPA)

At a time when Palestinian sources told Asharq Al-Awsat that Egypt, Qatar, and Türkiye helped draft a plan submitted by the Board of Peace to disarm factions in Gaza, Hamas sources acknowledged “differences” with mediators over the proposal.

Sources familiar with the Gaza Administration Committee said mediators involved in ceasefire talks had been fully briefed on the Board of Peace plan before it was presented to Hamas and other factions.

A document published by Reuters and other media outlets last week showed that the Board of Peace, formed by US President Donald Trump, had proposed that Hamas dismantle its tunnel network in the Gaza Strip and give up weapons in stages over eight months.

The plan lays out a timeline starting with a national committee taking over security in Gaza and ending with a full Israeli withdrawal once “final verification” that the enclave is free of weapons is achieved.

Sources close to the Gaza Committee said the three mediating countries, working with the United States, helped shape the proposal, introducing amendments and comments during drafting.

After confirming receipt of the proposal last week, Hamas officials voiced anger at the Board of Peace’s High Representative for Gaza, Nickolay Mladenov, after he told the Security Council that reconstruction could not begin until disarmament phases were verified.

Mediator backing

Two Hamas sources in Gaza said they were unaware of any direct involvement by mediators in drafting the plan, but suggested that the mediators likely knew its details before it was presented.

A senior Hamas source outside Gaza said the group had not received clear confirmation of such involvement, but that the proposal’s language and mediator support indicated prior knowledge.

The senior source said the plan had been discussed internally and that some provisions were reviewed with mediators during meetings in Egypt and Türkiye in recent days.

They said a unified Palestinian position would be presented within a clear framework aimed at amending key clauses, rejecting any link between disarmament and progress on other steps.

They stressed “the need to obligate Israel to fulfill its commitments,” saying the current plan allows it to maneuver and pressure what he described as the “resistance” to achieve its core aim of keeping Gaza demilitarized while retaining security control.

“Differences are normal”

Asked about gaps between Hamas and mediators, the three sources agreed there were “differences,” one describing them as “normal.”

The senior source said the proposal does not fully meet Palestinian demands and requires factions to surrender weapons without a meaningful return from Israel.

They pointed to earlier ceasefire talks, when mediators showed responsiveness to faction demands, prompting them and the United States to engage positively with proposals, an approach factions hope will be repeated.

Hamas is likely to struggle to reject the plan outright and may instead seek amendments to secure what it sees as Palestinian gains. Israel has clearly rejected such changes and has signaled a possible return to war.

The plan calls for full disarmament, light and heavy weapons, factional, tribal, and personal, under a framework of “one law and one weapon,” while ensuring Hamas has no role in governing Gaza, either civilly or in security.

An Egyptian source told Asharq Al-Awsat about a week ago that Egypt’s Interior Ministry will receive thousands of candidates for a Palestinian police force tasked with maintaining security in Gaza under a ceasefire deal.

Recruits will undergo six weeks of training, with others set to train in Jordan.

The Gaza Administration Committee has recently opened applications for security roles in the new force, drawing tens of thousands of applicants, although the initial target is about 5,000 officers.

The United States, working with Israel, aims to start reconstruction in southern Gaza, particularly in Rafah, areas under Israeli control, before moving to Hamas-held areas.

Under the plan, reconstruction is tied to disarmament, a condition Hamas has consistently rejected.

Arab World

Israeli Strikes Kill 5 in the Gaza Strip

Palestinians walk through a flooded area in a temporary tent camp after heavy rainfall in Gaza City, Thursday, March 26, 2026 (AP Photo/Jehad Alshrafi)
Palestinians walk through a flooded area in a temporary tent camp after heavy rainfall in Gaza City, Thursday, March 26, 2026 (AP Photo/Jehad Alshrafi)
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Israeli Strikes Kill 5 in the Gaza Strip

Palestinians walk through a flooded area in a temporary tent camp after heavy rainfall in Gaza City, Thursday, March 26, 2026 (AP Photo/Jehad Alshrafi)
Palestinians walk through a flooded area in a temporary tent camp after heavy rainfall in Gaza City, Thursday, March 26, 2026 (AP Photo/Jehad Alshrafi)

Israeli strikes killed at least five people in the Gaza Strip in two separate attacks on Tuesday, health officials said, in the latest violence overshadowing a fragile five-months-old US-brokered ceasefire deal.

Medics said an Israeli airstrike in Jabalia, north of the enclave, killed at least three people earlier in the day, while another airstrike killed two others in ⁠Khan Younis, in ⁠the south.

There was no Israeli comment on either of the two incidents.

Hamas and Israel have traded blame for violations of a ceasefire agreed last October. The Gaza health ⁠ministry said Israeli fire has killed at least 700 people since the ceasefire. Israel said four soldiers were killed by militants in Gaza over the same period.

Israel, along with the US, is also now engaged in a conflict with Iran, while Israeli forces have also invaded southern Lebanon in a new campaign ⁠against ⁠Iran-backed Hezbollah.

Arab World

Israel's Katz on Lebanon: to Maintain Control Over Entire Area Up to Litani River

Israeli heavy machinery operates in the southern Lebanese village of Adeisseh, as seen from the Israeli side of the border in the Upper Galilee, northern Israel, 30 March 2026. EPA/ATEF SAFADI
Israeli heavy machinery operates in the southern Lebanese village of Adeisseh, as seen from the Israeli side of the border in the Upper Galilee, northern Israel, 30 March 2026. EPA/ATEF SAFADI
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Israel's Katz on Lebanon: to Maintain Control Over Entire Area Up to Litani River

Israeli heavy machinery operates in the southern Lebanese village of Adeisseh, as seen from the Israeli side of the border in the Upper Galilee, northern Israel, 30 March 2026. EPA/ATEF SAFADI
Israeli heavy machinery operates in the southern Lebanese village of Adeisseh, as seen from the Israeli side of the border in the Upper Galilee, northern Israel, 30 March 2026. EPA/ATEF SAFADI

Israel will establish a buffer zone inside southern Lebanon and maintain control over the entire area up to the Litani River once the conflict with Hezbollah ends, Israel's defense minister said on Tuesday.

"At the end of the operation, the IDF would control ⁠the area up to ⁠the Litani River, including the remaining Litani bridges, while eliminating Radwan forces that infiltrated the area and destroying all weapons there," Israel Katz ⁠said in a statement following a security assessment, calling it a "security zone.”

Radwan forces are an elite military unit of Hezbollah.

Katz said that the more than 600,000 Lebanese residents who have been evacuated northward would be barred from returning south of the Litani ⁠until ⁠the safety of residents in northern Israel is guaranteed.

To that end, "all homes in villages near the border in Lebanon would be destroyed, according to the model of Rafah and Beit Hanoun in Gaza, in order to permanently remove threats near the border to northern residents" in Israel, Katz said.

Israeli military spokesperson ⁠Lieutenant Colonel Nadav Shoshani said that Hezbollah had fired almost 5,000 drones, rockets and missiles at Israel during the conflict. The Israeli military also announced a new wave of strikes it said were targeting Hezbollah infrastructure in Beirut's southern suburbs.