Iraqi-Turkish oil pipeline set to resume operations on Wednesday
Turkey’s Minister of Energy and Natural Resources, Alparslan Bayraktar, has confirmed that the long-awaited reopening of the oil pipeline connecting northern Iraq to Turkey is scheduled for this Wednesday.
This development signals Ankara’s readiness to recommence oil export operations via the Ceyhan port, situated along the Mediterranean coast.
The halt in oil flows through the northern Iraqi pipeline dates back to March 25 when the International Chamber of Commerce (ICC) ruled in favor of Baghdad, ordering Ankara to pay a substantial $1.5 billion in compensation. This financial penalty was imposed as a consequence of damages attributed to the Kurdistan Regional Government’s (KRG) unauthorized export of oil between 2014 and 2018, without the approval of the federal government in Baghdad.
Prior to the pipeline closure, the Kurdistan Region of Iraq had been exporting approximately 450,000 barrels of crude oil daily.
The interruption in oil transportation prompted Turkey to initiate essential maintenance work on the pipeline, citing its passage through a seismically active region and damage caused by flooding. Minister Bayraktar has now stated unequivocally that there are no remaining obstacles to the shipping of oil produced in northern Iraq to global markets.
Furthermore, during his participation in the ADIPEC conference in Abu Dhabi on Monday, Minister Bayraktar emphasized Turkey’s commitment to resuming the operation of the crucial oil pipeline from Iraq this week. He highlighted Turkey’s pivotal role as a reliable route for oil and gas transportation.
However, it’s worth noting that discussions regarding the resumption of oil exports from northern Iraq through the Iraq-Turkey pipeline are still ongoing, as disclosed by an Iraqi official within the oil sector on Tuesday. The progress and negotiations surrounding this matter will continue to be monitored closely.
