While the country's output is still over its quota, Iraq has now cut more than 600,000 bpd compared to its first-quarter production average.
Financial constraints and OPEC cuts led to oil sector layoffs and protests that briefly shut down access to Missan province's largest field.
Countrywide oil sales dropped by 11 percent, but higher oil prices – buoyed by an OPEC-plus quota agreement – yielded monthly revenue gains.
Production cuts and falling exports move Iraq closer to OPEC-plus quota compliance.
The KRG's production is falling as cash flows dry up and companies pare back investment.
Major reductions totaling almost 200,000 bpd were not nearly enough to bring Iraq's May production in line with an OPEC-plus agreement.
Protests that prompted an emergency evacuation in May were caused by a breakdown in payments and cooperation between Shell and its government partners.
Ihsan Ismaael, head of the Basra Oil Company, has been tapped to lead Oil Ministry pending vote in Parliament.
After cutting output less than anticipated, Iraq promises further moves to reduce production and bolster global prices.
Letter from Iraqi finance minister to KRG prime minister offers a one-time, $338 million payment – and continuing negotiations for a new budget deal.
