France's Total bags new oil in Iraq Kurdish region

[August 22, 2012]  BAGHDAD (AP) -- A Canadian oil company says French oil giant Total has bought its minority share in an exploration block in Iraq's northern self-ruled Kurdish region, ignoring Baghdad's objections about direct deals with the Kurds.

Total confirmed the deal on Tuesday without giving details.

ShaMaran Petroleum Corp. says Total will pay $48 million for its 20 percent share in a deal to search for oil in Taza block near the Iraqi city of Sulaimiyah.

Papua New Guinea's Oil Search holds a 60 percent share. The Kurdish regional government owns the rest.

Last month, Total said it signed a deal with the Kurds to search for oil in two areas, defying the central government that insists the country's energy resources should be managed on a national level.

[Associated Press]

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