Oil Ministry takes an 82,000 bpd field offline as de-escalation tactic in response to protests; overall production and exports unlikely to be affected nationwide.
The killing of an oil facilities policeman at a Khabbaz well comes as insurgent attacks are on the upswing.
State-operated fields in Basra throttle back production as Iraq moves to support an OPEC agreement and bolster global oil prices.
A long-time central player in Kurdistan's oil industry, the CEO of KAR Group has already become a trusted advisor of KRG Prime Minister Masrur Barzani.
Thousands of Islamic State militants are believed to be in the area, exploiting security gaps.
Iraq's oil minister is reshuffling the directors general of the state-run companies managing Kirkuk and Dhi Qar's oil operations.
Oil sales from both the federal government and the KRG increased in November.
In the midst of an unpredictable protest movement, Iraq's oil sector has avoided output disruptions and plans are on track for developing new production and export capacity.
Protesters are confronting an unbridgeable gap between their demands and the government's action. Their rising frustration poses increasing risks to the oil sector.
As anti-government demonstrations alter Iraq's political landscape, the KRG has been forced to temper its ambitions to negotiate a durable financial relationship with Baghdad.
