For the first time in over two years, crude oil has resumed flowing through a pipeline from Iraq’s Kurdistan region to Turkey, following an interim agreement. Iraq’s oil ministry announced the resumption, which began at 6 a.m. local time, signaling a breakthrough in a long-standing deadlock.
The agreement, involving Iraq’s federal and Kurdish regional governments along with foreign oil producers, enables a daily flow of up to 190,000 barrels to Turkey’s Ceyhan port. This move comes amid U.S. pressure for the restart, aiming to contribute to the global oil market as OPEC+ increases output.
Iraq’s exports are set to rise, staying within OPEC quotas, amid efforts to settle outstanding debts with oil companies operating in Kurdistan. The Kurdish region’s commitment to deliver a significant daily crude quota underscores an attempt to stabilize and boost Iraq’s oil production and exports.
(With inputs from agencies.)