The Iraqi government has blacklisted the Chinese state oil company, Sinopec, because it refuses to relinquish contracts it signed with the Kurdish regional government. The central government doesn't consider those contracts valid.
"Sinopec is blacklisted unless it changes its position and withdraws from these contracts," Abdul al Ameedi, the deputy head of the Iraqi oil ministry's petroleum contracts and licensing directorate, told Dow Jones. "We have cancelled Sinopec's pre-qualification."
The Iraqi government can't form a state oil company until it passes an oil law. And it can't pass an oil law until it reaches an agreement with the Kurds, who don't want to surrender too much control over their oil resources.
Parliament has been arguing over this law for years and hasn't made any progress. That doesn't seem likely to change in the near future.





