The Kurdistan Pipeline Company has shut the Iraq-Turkey pipeline at the request of the Turkish government, oil companies operating in the region said, sending their shares tanking on Monday.

The news comes after Iraq on Saturday halted crude exports from its northern region after the country won an arbitration case in which it said that Turkey violated a joint agreement by allowing the Kurdistan Regional Government (KRG) to export oil to Ceyhan.

Shares ofLondon-listed Genel Energy Plc GENL.Lfell 16% despite the Iraqi Kurdistan-focused oil firm saying it continues to produce oil into storage facilities.

Gulf Keystone, operator of the Shaikan Field, one of the largest developments in the Kurdistan Region of Iraq, saw its stock sink 22% to their lowest level since August 2021.

While Genel and Gulf Keystone said they expect the shutdown to be temporary, Norway’s Middle East-focused oil firm DNO DNO.OL said the KRG instructed it to temporarily halt oil deliveries to the pipeline for export.

Its Oslo-listed shares were down 8.8%, hitting their lowest level since Dec. 2021.
Source: Reuters (Reporting by Muhammed Husain in Bengaluru; Editing by Savio D’Souza and Nivedita Bhattacharjee)