Iraq said it’s yet to strike a deal with Ankara that would allow for the resumption of almost half a million barrels a day of Iraqi oil exports from Turkey.
(Bloomberg) — Iraq said it’s yet to strike a deal with Ankara that would allow for the resumption of almost half a million barrels a day of Iraqi oil exports from Turkey.
The stand-off — part of a wider dispute between Baghdad and the semi-autonomous Kurdistan Regional Government — has halted shipments from the Mediterranean port of Ceyhan since late March.
Iraq is in talks with Turkey but there’s no clarity on when flows can restart, Iraqi Oil Minister Hayyan Abdul Ghani said to journalists on Wednesday. Turkish officials have said they are checking a pipeline running to the terminal for damage resulting from recent tremors in the region, he said.
“There is some damage to the pipeline, according to what the Turkish authorities told us,” the minister said. Turkey’s state pipeline operator Botas “is doing checks.”
He also said Iraq plans to build a crude oil pipeline to the port of Amaya in the south of the country. That should be able to carry 500,000 barrels a day and be funded with money from Japan.
Iraq’s federal government and the KRG normally send around 450,000 barrels a day of crude through Ceyhan. That about 10% of Iraq’s total production, most of which is exported from southern ports on the Persian Gulf.
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