Iraqi Oil Minister Bassem Mohammad Khdeir announced on Saturday that Iraq’s oil exports have dropped to between 1.5 and 1.7 million barrels per day (bpd), down from approximately 3.4 million bpd exported prior to the war via the Strait of Hormuz. He emphasized that the government is actively working to find alternative export outlets and diversify its crude routing.
اضافة اعلان
During a press conference, Khdeir noted that current crude delivery volumes cannot match pre-war levels, while reassuring that Iraq is capable of restoring its previous export capacity once the war ends. All oil fields stand ready to ramp production and exports back to former levels, according to the Iraqi News Agency (INA).
He explained that Iraq is currently producing around 2.7 million bpd, with export figures ranging between 1.5 and 1.7 million bpd, underscoring the country's urgent need for future solutions to diversify its export routes.
Khdeir highlighted that the Basra–Fishkhabour pipeline project will be executed under a Build-Operate-Transfer (BOT) framework, where an investing firm will undertake its construction and operation. He added that the government is simultaneously working to secure a safe environment for companies operating in the energy sector.
In the same context, the Iraqi Oil Minister pointed out that progress is being made regarding the export pipeline project through Aqaba, in addition to efforts to secure storage facilities for Iraqi crude in several countries, confirming that active work is underway on this front.
Plans for Production Expansion and Investment
The Oil Minister affirmed the ministry’s commitment to advancing the government program's objectives to develop the petroleum industry, boost production and exports, build infrastructure, and attract international companies to invest in the oil and gas sectors.
He stated that Iraq needs to modernize its infrastructure following decades of wars and terrorism, noting that the government seeks to strengthen Iraq's position in the energy sector to positively impact the national economy and citizens' living standards.
He added that the ministry's exploration teams are continuing survey operations across several governorates to replenish depleted oil reserves.
Associated Gas Flaring
Khdeir stated that the ministry is working along two parallel tracks: ending associated gas flaring and investing in dedicated gas fields, noting that Iraq spends substantial capital on gas imports and aims to capture and monetize it locally.
He explained that the ministry awarded 14 contracts to international companies to develop and invest in gas fields, reiterating that ending gas flaring and utilizing gas resources remain top sector priorities.
Khdeir noted that a recent visit to the United States opened a new chapter of cooperation with international companies, stating that the presence of American firms in Iraq reflects the attractiveness of the investment environment.
He added that global companies can contribute to training Iraqi personnel, developing infrastructure, and creating job opportunities, highlighting the signing of memorandums of understanding (MoUs) and contracts covering seven areas—including agreements to upgrade contracts and capture associated oil and gas, along with an annex agreement concerning the Qurna-2 field, the Nasiriyah project, and four exploration blocks.
He added that the ministry signed three MoUs with American companies, which are expected to unlock substantial investment potential.
Regarding the oil agreement with Turkey, Khdeir said it was renewed under specific terms, with Turkey proposing that cooperation be limited to oil transport and Iraqi participation in select projects.
He explained that the planned volume of 700,000 bpd cannot be supplied solely via Kirkuk under current conditions.
Addressing the oil and gas file in the Kurdistan Region, he confirmed the existence of a tripartite agreement between the federal government, the regional government, and oil companies, noting that it can be amended through negotiation.
He stressed that the ministry makes no distinction between citizens in the Kurdistan Region and other governorates, emphasizing that the region's file requires extensive dialogue and continued negotiations to reach solutions that serve the national interest.
Khdeir reaffirmed that the Oil Ministry is dedicated to implementing the government program and developing the energy sector, enabling Iraq to boost its oil and gas production, expand export capacity, and diversify crude transport outlets.
