Accusing Maliki of "authoritarian" and "dictatorial" behavior, Kurdish leaders are moving to undercut the Cabinet's draft oil law and push the Parliament's competing version.
In a late Ramadan meeting, Iraq's Council of Ministers approve a draft oil and gas law, warning Parliament against all competing versions.
According to a State Dept. cable from Iraq, and despite the U.S. Embassy's warnings, the oil company of a George W. Bush intelligence adviser signed a Kurdish oil deal knowing the field was in disputed territory.
The Iraqi legislature is in its Ramadan recess, but the energy committee has made public the official versions of the two key oil laws.
The Iraq oil law proposed by the Parliament creates a politicized board for reviewing old oil contracts and a new council for setting policy, according to the draft obtained by Iraq Oil Report.
The oil law is postponed again, awaiting political deal after Maliki MPs walked out during first reading, saying they needed more time.
Citing impatience with the central government, leaders in Iraq’s richest oil provinces have taken early steps towards combining into a semi-autonomous southern region.
A constitutional conflict between Iraq’s legislative and executive branches appears to be brewing, and oil legislation is at the center of the storm.
Despite the Iraqi Parliament's opposition to new oil deals, the Kurdish region has signed production contracts with U.S. and Irish oil firms.
The Oil Ministry has scheduled its fourth bidding round for Jan. 25 or 26, despite parliamentary opposition, and will release the list of pre-qualified companies next week.
