Iraq’s national budget requires the KRG hand over 250,000 b/d in return for its share of spending. Baghdad currently receives nothing. Prime Minister Abd al-Mahdi, known for his friendly ties with the Kurds, is pressuring Erbil to pay up.

After several months of relative calm, the contentious oil revenue sharing dispute between Iraq’s federal government and the Kurdistan Regional Government (KRG) has once again flared up with Prime Minister Adil Abd al-Mahdi confirming last week...