Turkey and Iraq Extend Oil Pipeline Agreement by One Year
Ankara and Baghdad have extended their oil pipeline agreement by one year, just days after Iraqi Prime Minister Ali al-Zaidi visited Turkey. The deal was signed during a meeting between Turkish Energy Minister Alparslan Bayraktar and Iraqi Oil Minister Bassem Mohammed Khudair in Ankara.
The agreement extends the transit arrangement for the Kirkuk-Ceyhan pipeline, which carries Iraqi crude to Turkey's Mediterranean export terminal of Ceyhan. This key outlet is used for regional oil shipments, with a maximum capacity of about 1.5 million barrels per day.
Under the terms of the extended agreement, Turkish and Iraqi companies will begin implementing a minimum export capacity of 750,000 barrels per day. The two governments have also committed to pushing forward with efforts to finalize a comprehensive framework agreement covering oil, electricity, and water resources sectors.