The Kurdistan Regional Government has made waves by signing oil deals without Baghdad and says it is five years from producing 1 million barrels per day.

That's more than Iraq can refine, which means it most likely will be sent to market. Turkey, which receives Iraq oil via a pipeline from Kirkuk, just outside of the KRG, has refused.

Iraq's national government, upset with the KRG, maintains only it has the right to export oil and says it has contacted Turkey, Iran and Syria in a Kurdish oil boycott.

Ashti Hawrami, the KRG's natural resources minister, told United Press International there should be no controversy.

"Firstly we are part of Iraq. We are Iraqis. Secondly, we have a pipeline infrastructure through Kurdistan, it is called the Kirkuk pipeline," he said. "The last 30 kilometers of the Kirkuk pipeline falls inside Duhok" -- a KRG province -- "before the Turkish border. All the metering controls are actually in that area. And that's where we're going to put it. As simple as that. So it is Iraqi oil, produced by Iraqis, exported by Iraqis, for the benefit of all the Iraqi people. I don't understand what the question is in that respect."

He said the money from the oil sales will be handled by the federal government, with a portion being shared with the KRG.

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Ben Lando, UPI Energy Editor

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(e-mail: blando@upi.com)