U.S. President Donald Trump's administration is piling pressure on Iraq to allow Kurdish oil exports to restart or face sanctions alongside Iran, eight sources with direct knowledge of the matter told Reuters.

Iraqi authorities have rejected reports that they have allowed a resumption of oil exports from the Kurdistan region because of threats by the US government.

Oil exports from the semi-autonomous Kurdistan region will resume next week, Iraq's oil minister said on Monday, resolving a near two-year dispute as ties between Baghdad and Erbil improve, potentially adding more supply to the oil market and weighing on prices.

The Iraqi Oil Ministry announced the completion of all procedures required to resume oil exports from Iraqi Kurdistan.

The president of Iraq’s semi-autonomous Kurdistan region signaled the likely resumption of oil exports next month, the latest optimism that an almost two-year shutdown that cost the nation some $19 billion in lost revenue could soon be over.

ERBIL, Kurdistan Region - Oil producers in the Kurdistan Region said on Sunday they expect written contractual agreements on sales terms “without political interference” before resuming oil exports after Baghdad said all preparations were completed to restart exporting oil.

Kurdistan is set to resume oil exports by the end of March following a two-year halt due to a dispute with the Iraqi government.

ERBIL, Kurdistan Region - The Kurdistan Regional Government (KRG) on Wednesday urged the resumption of the Region’s oil exports to the international markets in the nearest future, tasking its concerned ministry to continue cooperating with Baghdad in this regard.