Iraq Signs Oil Pact with Turkey Amidst Talks with Iran on Hormuz Navigation

Oil Minister Basim Mohammed Khudair announced an ambitious plan to transport southern oilfield output via northern pipelines, targeting over 700,000 barrels per day in exports, under an Iraqi-Turkish agreement. He also revealed ongoing talks with Iran concerning smooth oil tanker movement through the Strait of Hormuz, hoping for understandings soon. Khudair clarified in a statement that a significant agreement was signed with Turkey on August 1st. This accord extends existing oil understandings for one year, allowing for a draft long-term framework. The agreement ensures crude oil export continuity from Kurdistan Region's fields, while also implementing the plan to transport southern oil via the same pipeline to achieve targeted export rates. The minister added that economic and political discussions, held alongside the Prime Minister, focused on expanding comprehensive economic cooperation and signing multiple MOUs. He further stated that the Iraqi delegation held talks with Iran to ensure smooth oil tanker flow in the Strait of Hormuz, anticipating major understandings to protect and facilitate shipment passage. Khudair affirmed the government's approach relies on building bridges of communication, partnership, and joint investment with neighbors to support the national economy. He emphasized that financial revenues from increased exports and developed international contracts will fund infrastructure development in health, education, and road sectors, and human resources development.