Iraqi Prime Minister Haider al-Abadi has demanded that Kurdish authorities "cancel" the outcome of the independence referendum in northern Iraq, or face the consequences of what is rapidly escalating into a major regional crisis.

Key points: Baghdad orders troops be sent to reclaim oil fields and requests diplomatic missions close

Baghdad orders troops be sent to reclaim oil fields and requests diplomatic missions close Iraq, Iran, Turkey begin joint military drills along the borders of Iraqi Kurdistan

Iraq, Iran, Turkey begin joint military drills along the borders of Iraqi Kurdistan All flights to Kurdish areas are to be suspended as of Friday afternoon

All flights to Kurdish areas are to be suspended as of Friday afternoon Kurdish authorities double-down that the referendum gives legitimacy to negotiate

On Wednesday, Mr Abadi renewed Baghdad's stance that the referendum was unconstitutional, as Parliament urged the Iraqi central Government to send troops to take control of vital oil fields held by Kurdish forces and called on all foreign governments to close their diplomatic missions in Kurdish capital Erbil.

Speaking to Parliament, Mr Abadi also delivered an ultimatum to Kurdistan Regional Government (KRG) President Masoud Barzani: hand over control of the regions' international airports by Friday, or face a travel ban on flights to the Kurdish region.

Within hours, airlines were announcing that they would be suspending flights to Kurdish airports as of 3:00pm GMT on Friday (1:00am AEST), the deadline set by Baghdad.

On Monday, people in northern Iraq voted overwhelmingly in favour of independence in a non-binding referendum that was aimed at arming Mr Barzani with territorial bargaining chips.

Mr Barzani used a televised address to declare that the "yes" vote had won. ( Reuters: Azad Lashkari, file )

Final results released overnight showed nearly 93 per cent voted in favour of independence, with 7.3 per cent voting against. More than 3.3 million people, or 72 per cent of eligible voters, took part in Monday's ballot, according to the electoral commission.

However in the lead up to the vote, all suggestions of secession by the Kurds was bitterly opposed by the government in Baghdad, as well as by neighbours Turkey and Iran who threatened to isolate the region — the United States also pressed Kurdish leaders to call off the poll.

"We will not have a dialogue about the referendum outcome," Mr Abadi said.

"If they want to start talks, they must cancel the referendum and its outcome."

But Mr Abadi's demand was still rejected by KRG Transport Minister Mowlud Murad on Wednesday, who told a news conference in the Kurdish capital Erbil that keeping control of airports and maintaining direct international flights to Erbil was necessary, in part for the fight against Islamic State militants.

Kurdish leaders meanwhile doubled-down that the referendum has given them the mandate to negotiate the peaceful secession of their region with Baghdad and Iraq's powerful neighbours Iran and Turkey.

Mr Murad expressed the hope that the crisis could be resolved by Friday, saying it would damage Kurdistan's economy.

Iran, Turkey put military pressure on Kurdistan borders

But Baghdad is not backing down. On Wednesday, a delegation from Iraq's armed forces headed to neighbouring Iran to coordinate military efforts, apparently as part of retaliatory measures taken by Baghdad following the vote.

Turkish and Iraqi troops carry out joint military exercise in Turkey near the Kurdistan border. ( Reuters: Umit Bektas )

Meanwhile, Iran and Turkey, who also oppose any move towards Kurdish secession, have reportedly started joint military exercises near their borders with Iraqi Kurdistan in recent days — Iraq and Turkey have also held separate joint drills.

Earlier, Iraqi Parliament also asked Mr Abadi to send more troops to the Kurdish region of Kirkuk to take back control of its oilfields.

The Kurdish elections commission confirmed the "yes" voted won by over 90 per cent. ( Reuters: Alaa Al-Marjani )

Kurdish Peshmerga fighters took control of Kirkuk in 2014 when the Iraqi army fled in the face of Islamic State militants who overran about a third of Iraq — the Kurdish move prevented the oilfields from falling into the militants' hands.

"The government has to bring back the oilfields of Kirkuk under the control of the oil ministry," said the resolution voted by parliament in Baghdad.

It called on Mr Abadi to "issue orders for the security forces to deploy in the disputed areas, including Kirkuk".

The area, historically claimed by the Kurds, is also home to Turkmen and Arab communities, and it was included in the independence referendum held on Monday.

Sorry, this video has expired Michael Vincent reports on the Kurds push last month for Australia's backing on an independence referendum

Reuters