Iraq to Expand Crude Oil Exports via Pipeline and Road

By John Lee.

Iraq's cabinet has approved a plan to significantly increase crude oil exports, including through a new route via Syrian Mediterranean ports, according to the Ministry of Oil.

The cabinet, chaired by Prime Minister Ali al-Zaidi, endorsed recommendations from a meeting held on 20th May between the prime minister and senior Ministry of Oil officials. The plan includes:

• Increasing pipeline crude exports from 220,000 barrels per day (bpd) to 770,000 bpd, in two phases over two and a half months
• Raising truck exports to neighbouring countries to 420,000 bpd, in three phases
• Granting the oil minister the financial and contractual powers required to implement the plan
• Directing the State Oil Marketing Organization (SOMO) to conclude contracts for the additional volumes
• Resuming operation of fluid catalytic cracking (FCC) units at refineries through the Japanese operating company [UNICO?]

The cabinet also approved a contract with Syria for the transport, storage, and handling of crude oil - including Basra Light, Medium, and Heavy grades - through the ports of Banias and Tartous on the Mediterranean. A representative office of the Ministry of Oil is to be established to manage export operations via this route.

(Source: Ministry of Oil)

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