Iraq Advances Strategic Pipeline Project with U.S. and Qatari Partners
Iraq is moving forward with a major oil pipeline project in partnership with U.S. and Qatari firms to diversify its export options and reach international markets more flexibly, Oil Minister Bassem Mohammed Khudair announced Tuesday, September 8.
Speaking at the opening of the fourth Iraq Oil and Gas Projects and Licensing Rounds Exhibition, Khudair stated that Baghdad is working with a consortium including U.S. energy giant Chevron, TI Capital, and Qatar’s UCC.
The project will connect the southern oil hub of Basra to Fishkhabur near the northern border, with a planned western branch extending toward Syria’s Mediterranean port of Baniyas.
The new route aims to reduce Iraq’s reliance on its primary export pathway through southern Persian Gulf terminals and the vulnerable Strait of Hormuz, offering a vital alternative during regional disruptions.
The initiative aligns with recent statements from U.S. President Donald Trump, who publicly praised energy developments in the region last week, citing the construction of several pipelines and cross-border oil transport toward Syria's coast.
Alongside the Mediterranean route, Baghdad is working to rehabilitate its northern export infrastructure through an agreement with Turkey.
Khudair emphasized that combining these projects will provide Iraq with multiple export channels to ensure supply security.
Beyond pipeline infrastructure, the oil minister detailed broader national energy goals, including expanding refining capacity, capturing flared gas, and attracting foreign investment.
According to CEIC’s economic database, Iraq reported 3,257.500 Barrel/Day of crude exports as of December 2025, a drop from 3,363.570 Barrel/Day as of Dec 2024. On average, the country exported 1,494.600 Barrel/Day from Dec 1980 to 2025.
Despite the expansion, he affirmed that Iraq remains committed to OPEC output quotas, keeping total production at or below 4.2 million barrels per day.
Adding to the sector's momentum, Japan's JGC Corporation agreed to resume work on the Fluid Catalytic Cracking (FCC) project at Iraq’s southern refineries.
Khudair noted that the deal supports Baghdad’s ultimate goal of achieving fuel self-sufficiency while transitioning toward higher-value refined product exports.