Baghdad's legal victory appears to be altering the balance of power that has enabled Kurdistan's oil sector independence.
Attempting to triangulate between opposing political forces, Sudani also pushes through a long-delayed financial transfer to Kurdistan.
The Sudani administration appears to be turning a blind eye to the blacklist policy enacted by the previous government against KRG oil sector companies.
Rising investment of military resources signals enduring power of politically connected armed groups.
In early talks between Baghdad and Erbil, negotiators have outlined the same points of conflict that have stalled oil legislation since 2007.
After negotiations nearly fell apart two weeks ago, the French firm gave until Feb. 15 to finalize a deal — a deadline now extended by one month.
Payment delays to oil companies and bureaucratic disarray have kept the KRG from meeting its own ambitious target for ending the wasteful and polluting practice at several fields.
The new rate, which takes effect immediately, aims to ease financial strain on Iraqis but could make Iraq more vulnerable to future crises.
"Goodwill gesture" keeps the door open to further negotiations ahead of a Feb. 15 deadline, but key points of contention still appear unresolved.
A draft ruling is pending approval by the International Court of Arbitration, with Kurdistan's oil independence potentially hanging in the balance.
