Iraq Turns to New Pipelines as Gulf Risks Rise

Iraq is accelerating efforts to safeguard its oil exports and diversify transport routes amid rising regional tensions and disruptions to Gulf shipping. Meanwhile the existing operations continue to supply key international markets.

Officials in Baghdad are exploring alternative pipeline routes through neighbouring countries as instability threatens exports through the Strait of Hormuz, one of the world’s most critical oil transit points. Mudher Mohammed Saleh, financial advisor to the prime minister, said authorities are examining the long-discussed Iraq-Jordan pipeline project linking the country to Aqaba Port on the Red Sea. If implemented, the pipeline would allow Iraqi crude to reach international markets through Jordan’s Red Sea outlet, reducing reliance on Gulf shipping lanes.

The move comes as attacks and disruptions linked to the widening regional conflict have placed a greater pressure on energy infrastructure and trade in the Gulf. Iraqi authorities view diversifying export routes as essential to protecting the country’s oil sector, which accounts for roughly 90 percent of government revenues.

In a related effort, Baghdad is also seeking to restart exports through the Kirkuk-Ceyhan pipeline connecting northern Iraq to Turkey’s Mediterranean port of Ceyhan. Officials are in discussions with leaders of the Kurdistan Region to resume shipments that could reach around 200,000 barrels per day. The route, which has been largely inactive since late February, is now gaining renewed attention as Iraq works to expand its export options.

Meanwhile, Iraqi officials state that the domestic fuel supplies remain stable. Deputy Prime Minister for Energy Affairs and Oil Minister Hayan Abdul-Ghani Al-Sawad said local refineries and national companies are operating at full capacity to meet domestic demand for petroleum products and liquid gas, with sufficient reserves available.

Iraqi officials say expanding pipeline options and reviving northern export routes will help strengthen the country’s ability to maintain stable oil exports.

Source: Ministry of Oil