Iraq–Turkiye pipeline restart reshapes energy balance

Shafaq News – Baghdad / Ankara

The resumption of Iraq’s Kirkuk–Ceyhan oil pipeline aligns the interests of Washington, Baghdad, and Ankara, the Washington Institute for Near East Policy (WINEP) reported on Wednesday.

The reopening of the Iraq–Turkiye Pipeline late last month coincided with a White House meeting where President Donald Trump urged Turkish President Recep Tayyip Erdogan to scale back purchases of discounted Russian oil. According to WINEP, the move reflects Washington’s bid to use northern Iraq’s oil exports as a tool to reduce Moscow’s market influence while bolstering Iraq’s energy ties with the United States and Turkiye.

Under the new arrangement, around 180,000 to 190,000 barrels per day of Kurdish crude are being delivered to Iraq’s State Oil Marketing Organization (SOMO), which holds exclusive marketing authority. The interim deal, valid through December, permits an independent auditor to review production costs and address more than $1 billion in arrears owed to foreign firms operating in the Kurdistan Region.

Exports remain below pre-2023 levels of about 400,000 barrels per day, when the pipeline was halted after an arbitration ruling ordered Ankara to pay Baghdad $1.5 billion for unauthorized Kurdish exports.

Additionally, analysts cited by the institute caution that while the restart could strengthen Baghdad’s relations with Ankara and Washington, sustaining the flow will depend on security stability and continued political cooperation among the three sides.

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