CONTEMPORARY EURASIA VOLUME VII (1, 2) Contemporary-Eurasia-3new | Page 104

CONTEMPORARY EURASIA
nounced in 2013, that is going to invest more than $300 million in the
fi rst phase and will produce about 30,000 barrels a day from Atrush fi eld.
The deal between the company and KRG was signed in 2012, although
the government of Iraq had not approved it. 12
Another UAE based company Dana Gas and its partners are major
producers of natural gas in Kurdistan Region. The companies produced
Khor Mor and Chemchemal gas fi elds produced over 150 million barrels
equivalent of gas and petroleum liquids in Kurdistan. In 2013 Dana Gas
and its partners fi led a case against the KRG in the London Court of In-
ternational Arbitration accusing it of underpaying for production. Before
the independence referendum in 2017 KRG agreed to pay 1 bln dollar to
settle the dispute. 13
In 2018 Pearl Petroleum, the company consortium led by UAE-based
Crescent Petroleum and Dana Gas, has signed a 10-year gas sales agree-
ment with Erbil. The company promised to produce 80 million cubic feet
of sales gas per day before the end of 2018. 14
Gulf Arab countries-Iraq rapprochement
Gulf Cooperation Council unifi es 6 monarchies of the region and sets
common goals. However, these countries have diff erent attitudes in re-
gional policy. Saudi Arabia is the leading country of the cooperation with
its regional ambitions and rivalry with Iran. Qatar is also conducting ac-
tive foreign policy. In 2017 Doha’s partners accused Qatar of funding
radical Islamic groups, cooperating with Iran and imposed harsh sanc-
tions. Kuwait due to its geographical vulnerability conducts a policy of
balancing between Iran, Saudi Arabia and Iraq. The UAE is an important
hub in the Middle East and is attractive with its huge funds and invest-
ments. Bahrain strongly depends on the support of Saudi Arabia in the
face of permanent threat from Iran. Oman poses itself as a neutral coun-
try. Thus, the Arab countries of the Gulf are too diff erent in their motiva-
tion to conduct joint policy toward Iraq.
12
13
14
“UAE company to pump oil in Iraqi Kurdistan,” The Times of Israel, October 7, 2013,
https://www.timesofi srael.com/uae-company-to-pump-oil-in-iraqi-kurdistan/
(accessed
April28, 2018).
Dmitri Zhdannikov, “Kurdistan pays $1 billion to Dana Gas, partners to settle London case,”
Reuters, August 30, 2017, https://www.reuters.com/article/us-dana-gas-arbitration/kurdistan-
pays-1-billion-to-dana-gas-partners-to-settle-london-case-idUSKCN1BA272 (accessed July
30, 2018).
“UAE-led consortium signs gas sales deal with Kurdistan gov’t,” Arabian Business, March
21, 2018, http://www.arabianbusiness.com/energy/392496-uae-led-consortium-signs-gas-
sales-deal-with-kurdistan-govt (accessed June 12, 2018).
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