Turkey and Iraq have signed a one-year agreement to maintain crude oil exports through the Kirkuk-Ceyhan Oil Pipeline, following the expiration of their previous bilateral pipeline agreement. The deal, signed by Turkey's BOTAS and Iraq's SOMO and NOC, provides for the transit of up to 750,000 barrels per day, while negotiations continue on a long-term framework covering energy and other sectors.
The agreement follows Iraqi Prime Minister Ali al-Zaidi's recent visit to Ankara and reflects growing strategic cooperation between the two countries. Both governments described the deal as a key step toward broader collaboration in oil, electricity, water resources, and infrastructure.
The pipeline has become increasingly important after Iran's effective closure of the Strait of Hormuz disrupted Iraq's Persian Gulf oil exports, causing oil revenues to plunge. Although the pipeline has a maximum capacity of 1.5 million bpd, it is currently transporting only about 170,000 bpd, mainly from Iraq's Kurdistan region. Turkey and Iraq are also discussing expanding the pipeline to carry crude from Iraq's southern oil fields, strengthening Iraq's access to Mediterranean export markets.