Page 6 - MEOG Week 48 2022

MEOG PIPELINES & TRANSPORT MEOG

Iraq to expand oil export

capacity from next year

IRAQ IRAQ plans to start increasing oil export capac- said. The country produces 4.652mn bpd, Prime
ity from its southern ports from next year to add Minister Mohammed Shia Al-Sudani said on
a total of 1mn barrels per day to 1.5mn bpd by November 12.
2025, according to its OPEC delegate. The state-owned Basra Oil Co. (BOC) has
The project involves rehabilitating the south- been working to rehabilitate two pipelines that
ern port of Khor Al-Amaya and marine pipe- feed the Khor al-Amaya Oil Terminal (KAAOT).
lines, Mohammed Saadoon, Iraq’s national Ruptures in the conduits forced the terminal to
representative at OPEC and a deputy direc- go offline in 2017 and only return to operations
tor-general of state oil marketer Somo, said in an briefly in the intervening period.
interview on state-run Iraqiya TV. A contractor has been hired to find and repair
Export capacity from southern ports is due the fault, while a third pipe is to be installed, aim-
to increase between 150,000-250,000 bpd from ing to resume exports from KAAOT’s SPMs by
next year, he said. Iraq exported 3.293mn bpd the end of 2023. When operations resume, the
from its southern ports in October, according to terminal is anticipated to operate at around
the Ministry of Oil (MoO). 400,000 bpd, down from its 600,000 bpd capacity
Iraq is trying to boost revenue from oil and prior to going offline.
entice global companies to work in the country In March, BOC said that the pipeline over-
after decades of turmoil marked by wars, sanc- haul is part of efforts to increase crude export
tions and militant attacks. Saadoon said that capacity from the southern ports to 6mn bpd by
the output cuts decided by OPEC and its allies 2026. This will include the laying of two 48-inch
in OPEC+ last month would not affect Iraq’s oil (1,066-mm) pipelines as well as the construction
exports. and installation of new SPM facilities, with BOC
Iraq’s oil sales price has averaged $97 a barrel preparing a tender worth around $1bn that will
so far this year, he added. be opened up to international companies. Iraq’s
The MoO is also pursuing plans to boost oil current export capacity from its southern oil ter-
production to 5-5.5mn bpd by 2028, Saadoon minals is around 3.4mn bpd.™

P6 www. NEWSBASE .com Week 48 30•November•2022