The Iraqi authorities plans to restore and reopen a part of an oil pipeline operating by the Kurdistan area, which might enable it to export 350,000 barrels a day to Turkey by the top of the month, a senior Iraqi official stated on Monday, because the conversations failed. between Baghdad and the Kurdistan Regional Authorities (KRG) to restart a competing pipeline route that may be a main income for the semi-autonomous area.
Iraqi Deputy Oil Minister for Upstream Affairs Basim Mohammed informed Reuters that the Kirkuk-Ceyhan pipeline, which has been closed for a decade, is more likely to resume flows by the top of April.
“Restore works are underway and a serious crude oil pumping station with storage amenities has been accomplished,” he stated.
Mohammed added that repairing broken components of the pipeline in Iraq and finishing the pumping station would be the first section of labor to return the pipeline to full capability.
Why it issues: The Iraqi authorities’s mothballed part of the 600-mile pipeline, which as soon as dealt with about 0.5% of the world’s oil provide, has been closed since 2014 after Islamic State militants attacked it. Baghdad would require oil firms to barter with the Iraqi authorities to promote their oil by the revived pipeline.
