Skip to content Skip to Search
Skip navigation

Deal for Iraq oil via Turkish pipeline coming ‘soon’

Iraq oil pipeline The Iraq-Turkey pipeline has been an essential source of revenue for the semi-autonomous Kurdistan region Reuters
The Iraq-Turkey pipeline has been an essential source of revenue for the semi-autonomous Kurdistan region
  • Agreement ‘in a few days’
  • Exports stopped for a year
  • Oil companies welcome move

A deal is expected soon for Iraq to resume oil exports via a pipeline to the Turkish port of Ceyhan on the Mediterranean coast.

The Iraqi oil ministry, Kurdistan’s Ministry of Natural Resources and international oil companies met on Sunday in Baghdad to discuss resuming production and exports, said Iraq’s oil minister, Hayan Abdul Ghani.

“We have made progress in today’s talks, and we expect to reach an understanding in a few days,” Abdul Ghani told the state-owned Iraqiya TV on Sunday.



Iraq is Opec’s second-largest crude producer.

International oil companies operating in Iraq’s Kurdish region said in May that they were willing to negotiate terms to restart exports that have been stopped for more than a year.

The Association of the Petroleum Industry of Kurdistan (Apikur) welcomed the formation of committees in Baghdad and Erbil, capital of the Kurdistan Regional Government, that were announced by the Iraqi oil minister to restore oil exports through the pipeline.

Myles B Caggins, an Apikur spokesman, told AGBI in May: “We are awaiting official notification of international oil companies’ role in these critical negotiations.” 

Apikur’s members are responsible for around half of the oil supplied to the Kurdistan Regional Government.

They include Genel Energy, which has a registered office in Jersey and a field office in Turkey; Gulf Keystone Petroleum, which is listed on the London Stock Exchange; HKN Energy, which has its headquarters in Dallas, Texas; DNO of Norway; and ShaMaran Petroleum of Canada.

The Iraq-Turkey pipeline has been an essential source of revenue for the semi-autonomous Kurdistan region and supplies sour crude for refineries in the Mediterranean market.

Commercial dispute

It once transported around 400,000 barrels per day from the Kurdistan region and another 75,000 barrels per day from fields in Kirkuk.

International producers were forced to cut output after a commercial dispute between Baghdad and Turkey.

They refused to restart exports through the pipeline over another payment dispute with Baghdad and Erbil.

The latest talks are expected to focus on the Kurdistan Regional Government’s production-sharing energy contracts, which Baghdad wants to amend.

The foreign oil companies also want to be paid higher production costs than they receive at present for oil produced in the Kurdistan region.

Apikur said its members were prepared to resume exports, if they were provided with payment surety for past and future exports, direct payment and the preservation of commercial terms.

Latest articles

Rothschild Saudi

Edmond de Rothschild to run funding vehicle for Saudi projects

The Edmond de Rothschild Group is establishing a funding vehicle for infrastructure projects in Saudi Arabia along with the local firm SNB Capital, as part of a deal in which the Swiss investment bank will set up offices in the country.  Saudi Arabia’s massive economic diversification programme has run into financial obstacles as it faces […]

Turkey foreign property sales

Foreigners turning back on Turkish real estate

Foreign buyers are increasingly shunning the Turkish property market, wary of high prices, the expensive cost of living and a less welcoming environment for overseas real estate investors. There were only 2,064 residential units sold to foreign buyers in May, 35 percent down on the same month last year, data issued by the state statistics […]

2KEY8G1 Emirates Airline Airbus A380 aircraft landing. Aerial view of Emirates Airlines A380-800 airplane. An Emirates plane coming in to land at LAX; a spokesperson for Emirates said the contraventions were for safety reasons

US fines Emirates for operating in prohibited airspace

Emirates has been fined $1.5 million by the US Transportation Department for operating flights carrying JetBlue Airways’ JBLU.O designator code in prohibited airspace. The transportation department said that between December 2021 and August 2022, Emirates operated a significant number of flights carrying the JetBlue Airways code between the United Arab Emirates and the United States […]

Egypt will use the US funding across a range of sectors including agriculture

US allocates $130m development funding to Egypt

The US has allocated funding of $130 million for a range of developmental projects in Egypt, it was announced on Thursday. In a press release published by the US Embassy in Cairo, ambassador Herro Mustafa Garg said that the money would go towards “advancing Egyptian efforts to achieve a brighter, healthier, and more prosperous future […]