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The latest Kirkuk – Ceyhan Oil pipeline News – Iraq – Turkey Pipeline, Bomb Attack, Nineveh, Crude Oil Exports and more – brought to you by Iraq Business

Northern Export Pipeline Still Closed

By John Lee.

Iraq’s northern Kirkuk-Ceyhan export pipeline has been inoperable since March due to sabotage, while attempts to repair it have been curtailed due to ongoing insurgent activity.

Deputy prime minister for energy Hussein al-Shahristani (pictured) explained the urgency of the situation, noting that the area was secure enough to repair the pipeline, but not secure enough to prevent another attack:

“The halting of Kirkuk exports is an obstacle that prevents us from increasing our exports. It should be a priority for our security forces to secure the pipelines. I realize that our forces are facing attacks in the western part of the country and along the borders with Syria … but it’s also urgent to boost production and exports to provide required revenues to build the country and purchase arms for the security forces.”

(Source:  Todays Zaman)



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Pipeline From Kirkuk To Ceyhan Port Reopened

The North Oil Company has announced the resumption of oil flow in the pipeline from the Kirkuk oilfields to the Turkish port of Ceyhan after being shut off for three days because of repairs to a damaged line.

A source from the company was quoted by the National Iraqi News Agency, saying that the maintenance teams were able to repair the damage in the line near Shirqat in the village of Abu Jahash that was caused by an act of sabotage, which led to the shut down. The pipeline resumed pumping on Wednesday, which includes up to 300,000 barrels out of the total 670,000 barrels produced.

NINA’s source at the North Oil Company explained that the production processes were not damaged because the excess crude oil was stored in the K2 complex near the Baiji refinery.

(Source: NINA)

Posted in Industry & Trade, Oil & GasComments (1)

Bomb Shuts Kirkuk-Ceyhan Pipeline

A bomb attack in the northern province of Nineveh halted oil flow through the Iraq-Turkey pipeline, which carries a quarter of Iraq’s crude exports, a spokesman for Iraq’s oil ministry said on Wednesday.

Reuters, quoting Oil Ministry spokesman Asim Jihad, reported that the attack occurred on Tuesday night, but oil flow is expected to resume in a “few days” after fixing the damage.

“A bomb attack … has led to an explosion in the pipeline. There was no fire only an oil leak so flow was halted,” Jihad said. “We have enough stocks in storage for exports.”

The pipeline has a capacity of 1.6 million barrels per day and typically pumps 500,000 bpd.

There remained some confusion as to whether the blast was the result of a bomb or a technical fault.

(Source: Reuters)

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Iraq-Saudi Oil Pipeline May Be Re-Built

Iraq’s Oil Ministry is studying an offer submitted by a private a Saudi company to rebuild the idled Iraq-Saudi oil export pipeline, ministry spokesman Asim Jihad told Reuters.

Jihad and a representative of the Saudi firm, Ali Mahir, said the offer proposed involving Japan’s Mitsubishi and a Hungarian company identified as OTV, which took part in the construction of the original 626 km (390 mile) pipeline, which had a capacity of 1.7-million barrels per day. Alsumaria TV says the proposal involves Mitsubishi along with Bulgarian and American companies.

“We welcome any cooperation with Saudi Arabia in the oil sector to enhance bilateral relations. The offer is under discussion,” Jihad said.

(Sources: Alsumaria TV, Reuters)

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Iraq Considers Arab Gas Pipeline Link

Iraq has discussed with Egypt the issue of linking up to a gas pipeline running from Egypt through other Arab states as a way to export its gas, Reuters has reported.

The Arab Gas Pipeline is aimed at supplying customers in Jordan, Syria, Lebanon and Turkey, and potentially Europe through Egypt.

(Source: Reuters)

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Concern for Iraq Oil

Iraq’s oil pipelines are decades past their use-by-date. “We are afraid of anything happening to them,” said Deputy Oil Minister Ahmad Shamma, according to Iraq Oil Report.

US concerns for the ageing infrastructure were pushed as early as 2008, but now billions of dollars are being invested to create new pipelines to protect Iraqi oil exports. Shamma indicated that containment might have been lost due to corrosion, but said that “We will test them and see what we can do with them. We will operate them as long as it’s possible.”

Despite billions of dollars being invested in the oil industry in Iraq, no new pipelines have yet been developed. There have been reports of new pipelines to Turkey, routes to Israel, and connecting to Europe, and even pipeline deals with Iran.

One thing is for sure, with 95% of Iraq’s revenue coming from oil, a major shutdown of its existing pipelines before new ones are up-and-running would be a disaster.

(Sources: Iraq Oil Report)

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Oil Pipeline Re-Opened from Nasiriya to Kut

The oil pipeline from the south oil reservoirs in Nasiriya to the reservoir at Kut has been re-opened, according to a report from the National Iraqi News Agency.

Head of Wassit Provincial Council, Mahmoud Abdul-Ridha Talal, told (NINA): “The re-operation of the oil pipeline carrying oil between the two provinces will solve the serious and long-standing shortage of affordable vehicles fuel.”

“The pipeline will pump 20 m liters a day into Kut’s reservoir from Basra and Maysan, in addition to the quantities afforded according to contracts signed by the province with a private company”, he added.

(Source: National Iraqi News Agency)

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Ankara Sides with Baghdad over Kurdish Energy

The new deal between Iraq’s central government and Turkey on the Ceyhan pipeline reportedly blocks the export of oil and gas from Kurdistan without Baghdad’s approval.

Both AKnews and Azzaman report that Turkey’s Energy Minister, Taner Yildiz, has agreed not to transport Kurdish oil and gas unless Baghdad agrees.

Speaking to AKnews, Ali Hussein Balo, an advisor in to KRG’s Ministry of Energy and Natural Resources said “any agreements signed by Hussein Shahristani are unconstitutional and he does not have the right to prevent Kurdistan’s gas from being exported to Europe through Nabucco pipeline. [He] has exceeded his authority. Signing agreements with foreign countries is not part of his authorities and falls under the authority of the parliament.”

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