By John Lee.
A report from Reuters suggests that Iraq’s oil output in 2015 is likely to remain flat as Baghdad struggles to cope with low oil prices.
Oil executives and market experts say that increasing production next year will be even more challenging if prices remain low, and if Baghdad fails to repay oil companies or approve field development plans on time.
Approvals by Baghdad for tenders to build new crude oil processing facilities have reportedly been delayed for up to six months in some of the southern oilfields.
Baghdad’s aim is to hit 4 million bpd by the end of the year, including crude output from Kurdistan, up from around 3.3 million to 3.5 million bpd currently, but industry sources remain sceptical.
(Oil image via Shutterstock)