Iraq is exploring the possibility of expanding its oil exports to Africa. According to Iraq’s oil minister, Hayan Abdul Ghani, the government is currently assessing the feasibility of entering African markets. This is part of a broader strategy to diversify Iraq’s oil exports and increase its presence in global markets.
Iraq’s oil exports currently range between 3.2 million and 3.5 million barrels per day. Of this, 70 percent is directed to Asia, with China being the largest buyer followed by India. However, the government is now looking to shift some focus to Africa to further grow its oil export portfolio.
The expansion comes after Iraq signed 44 contracts under the latest oil licensing rounds, covering 14 provinces. The state-owned Basra Oil Company, which oversees the country’s oil operations, holds the largest share with 12 contracts. These efforts are seen as part of Iraq’s wider plan to diversify and secure new markets for its oil products.
Iraq’s oil exports primarily target the Asian market, but the move toward Africa aims to tap into the growing demand for crude oil across the continent. The government hopes to develop a stronger presence and open new export routes to boost revenues and reduce reliance on the Asian market.
In addition to expanding oil exports, Iraq is accelerating its efforts to grow renewable energy projects. As part of this, France’s TotalEnergies is helping Iraq develop a solar power plant that will generate 1,000 megawatts of electricity.
While Iraq expects to export 350,000 barrels per day through Turkey’s Ceyhan port, the oil ministry does not oversee production in the Kurdistan region. The government has informed OPEC that Kurdistan is currently producing 286,000 barrels per day.
The potential for Iraq to enter the African market is a significant move for its oil sector. With oil being a central part of the country’s economy, these expansion plans are vital for securing its future growth and sustainability.
