Iraqi oil earned more than $40 per barrel for the first time since September, a helpful boost as exports have dropped nearly 200 thousand bpd in two months. Indigenous IS fighters in northern Diyala province are using insurgent tactics to threaten areas that have ostensibly been reclaimed by government-backed forces. Gov. Majid al-Nasrawi said he would expropriate floating power stations after Karkey Company briefly shut off electricity supply over $85 million in unpaid bills. IOCs are investing enough to boost Iraq’s overall output despite tight budgets, but short-term fixes are masking fundamental issues that could undermine medium-term growth.