Russian energy giant Rosneft announced Monday it intends to help build a gas pipeline in Iraqi Kurdistan, a move bolstering Moscow's links to the region as it eyes independence.

The state-run firm said it had "negotiated" with local authorities the "opportunity to participate in the project on funding of the construction project of Kurdistan Region's natural gas pipeline infrastructure".

"The Kurdistan Region gas pipeline will not only supply natural gas to the power plants and domestic factories throughout the region, but also enable exporting of substantial fuel volume to Turkey and the European market in the coming years," a statement said.

The pipeline is set to carry 30 billion cubic metres of gas a year and is scheduled to start working in 2019, the company said.

The deal to build the pipeline should be finalised later this year, it said.

Kurdistan is currently locked in a dispute with Iraq's central government in Baghdad over its plans to hold an independence referendum on September 25.

The latest deal will further increase Rosneft's influence in the region as the company also eyes expanding Kurdistan's oil infrastructure.

Russia has long been involved in the oil and gas sectors in energy-rich Kurdistan, with state gas behemoth Gazprom also involved in the region.

Kurdistan is looking to boost its own energy infrastructure to ease any reliance on the central government in Baghdad.

source: AFP