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OIL AND GAS
Iraq challenges Greek shipper of Kurdish oil in court
by Daniel J. Graeber
Baghdad (UPI) Sep 8, 2014


disclaimer: image is for illustration purposes only

The Iraqi government revealed Monday it started legal proceedings against a Greek company responsible for exports of oil from the Kurdish north of the country.

The Iraqi Oil Ministry said it started legal proceedings in a Greek court against Marine Management Services, which operates five vessels, including United Kalavrvta, en route to a port in Galveston, Texas.

"Marine Management Services is liable for damages of at least $318 million, and possibly significantly more, as a result of its willing and active participation in the Kurdistan Regional Government's illegal crude oil export scheme," the ministry said.

The Iraqi and semiautonomous Kurdish governments have been involved in tit-for-tat legal proceedings in U.S. courts over the 1 million barrels of oil loaded onto United Kalavrvta. The U.S. government said the destination of crude oil is a commercial matter, but sided with Baghdad's claims that it's the sole entity in charge of oil exports.

Both Iraqi governments make competing claims over the legality of exports. Baghdad accused Marine Management Services of turning off ship transponders to avoid detection and conducting ship-to-ship oil transfers at sea.

There was no statement issued in response to Baghdad's latest case by either the KRG or Marine Management Services.

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