By introducing a new blend of export oil, "Basra Heavy," the Oil Ministry hopes to raise both the quality and quantity of sales.
Dhia Jaffar promoted as ministry names deputies for production, refining, gas and distribution.
Federal authorities have no communication with the small field they once controlled, as about 2,000 bpd of production is feeding Kurdistan's export pipeline.
Venture would give Kurdistan a much-needed cash infusion but would divert future revenue streams earmarked for infrastructure and education.
Oil price drop prompts Oil Ministry to request cost-cutting measures this year and contractual changes that will alter the decades-long contracts.
Rising Baghdad-KRG oil cooperation and recovering oil prices help offset southern export slump.
Oil Ministry and IOCs also begin talks to negotiate contract changes as the oil price drop hits budgets.
Political disputes, bad weather, crude quality problems and infrastructure delays set back much needed revenues.
Loading buoys in the Basra Gulf are left idle as tankers refuse some cargoes.
Oil production is booming in Missan province, which now accounts for nearly one-tenth of Iraq's output.
