FIRST AIRED: October 17, 2017

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>> Waiting outside the morgue to collect the bodies of their loved ones. Kurdish Peshmerga fighters who were killed when Iraqi forces took the oil city of Kirkuk from them on Monday. The Kurds have held a wide crescent of territory in Northern Iraq after helping drive out Islamic state fighters.
But have been rolled back by Iraq's lightning quick campaign. Even pulling out of a long-disputed area near the Iranian border. This swift takeover continued on Tuesday, as Iraqi forces reclaimed territory across northern Iraq, pushing open a new front in the country's 14 year civil war and sparking a jump in global oil prices.
Peshmerga fighters moved into Kirkuk and defended the area's oil fields in 2014. After Iraqi government forces were drive out by jihadists. Now the two sides are clashing with the Kurdistan regional government paying a price for an independence referendum last month. As Reuters' MIchael Georgie explains, it could potentially draw in regional powers.
>> A referendum on independence which won overwhelming backing has angered not only Baghdad but Turkey and Iran. All three parties fear will create chaos and Turkey and Iran fear that it'll encourage courage in their nation to agitate for change.>> Turkey which had allowed the Kurds to export oil through its pipes has swung behind Bagdad, both sides in this dispute armed and trained by the US and the successful campaign to drive Islamic State out of Iraq.
Washington now in the awkward position of recognizing Iraqi authority while trying to maintain close ties with the Kurds. Instability in the region has boosted global oil prices. Brent Crude Futures, the international benchmark, over $58 on Tuesday, up almost a third from it's mid-year levels. The Iraqi Oil Ministry has now confirmed all oil facilities in Kirkuk province are back under government control.