BAGHDAD Jan 18 Iraq's Kurdistan defended its
oil contracts with foreign companies and its crude trade barter
with Turkey as constitutional, and rejected a initial deal
between Baghdad and BP to develop an oilfield in the disputed
city of Kirkuk.
The statement came after Iraq's oil minister told Reuters
Baghdad plans to sue companies exporting oil from the
self-governed Kurdistan enclave and announced a preliminary deal
with BP for Kirkuk oilfield.
The exchange is the latest between Iraq's Arab-led central
government and autonomous Kurdistan which are locked in a
widening dispute over control of oil revenues, and over
oilfields and territory where both claim jurisdiction.