BellData Intelligence
Newsroom/Energy
Energy3h ago

Iraqi PM visits Turkiye to boost ties despite complex challenges

Bell summary

Iraqi Prime Minister Ali al-Zaidi is visiting Turkiye to negotiate strategic cooperation on security, water, and energy issues. The visit focuses on renewing an oil pipeline agreement and establishing new export routes for Iraqi crude, with Turkiye seeking increased fees and export volumes.

The full story

Iraqi Prime Minister Ali al-Zaidi has embarked on a high-level delegation visit to Turkiye, marking his first trip to the neighboring country since assuming office in May. The visit, led on Tuesday with accompanying ministers and senior officials, centers on advancing strategic cooperation between the two nations while addressing shared concerns regarding security, water resources, and economic matters. Relations between Iraq and Turkiye have remained a priority for both countries, particularly given Iraq's dependence on oil and water resources and Turkiye's geographic significance as a potential export corridor.

A critical focus of the visit involves renegotiating an oil pipeline agreement that expired on Monday. According to an Iraqi Ministry of Oil source, a technical delegation traveled to Ankara the previous week to finalize a one-year extension of the existing arrangement while longer-term negotiations proceed. However, the source indicated that Turkiye's proposed terms present substantial obstacles for Iraqi acceptance. Turkish negotiators are reportedly seeking to increase the fee per barrel from $1.35 to $7 and require minimum export capacity of 1.5 million barrels per day, regardless of Iraq's current production capabilities.

Iraq's strategic interest in diversifying export routes has intensified following geopolitical developments, including the closure of the Strait of Hormuz. The country recently concluded energy agreements valued at $200 billion with American companies and aims to expand crude and gas production while establishing alternative export pathways through Turkiye and Syria to Mediterranean ports. Iraqi Oil Minister Basim Khudair emphasized the urgency of developing export outlets independent of the Strait of Hormuz, stating that accelerated negotiations are necessary to establish new routes.

Beyond energy matters, al-Zaidi intends to strengthen broader trade, development, and economic partnerships with Turkiye. Government sources indicate the prime minister will seek to leverage Turkish expertise in energy, infrastructure, and transport sectors to advance Iraq's development initiatives, including the Development Route transport project.

Written by Bell Data Intelligence · based on reporting by Al Jazeera.Read the original ↗
Follow Qatar’s energy signals

Live signals across the sector that powers the Gulf.

191,000+
Qatari companies
76,000+
actively trading
All
decision-makers