Turkey pipeline
Baghdad (IraqiNews.com) – Norwegian oil producer DNO has been instructed to restart exports through the Iraq–Turkey pipeline on September 27, following an agreement between the federal government in Baghdad, the Kurdistan Regional Government and several international companies.
Shipments will resume from DNO’s Tawke license in Iraq’s Kurdistan Region, with 38,000 barrels per day allocated for export as part of the Kurdish share, while another 30,000 barrels per day will continue to supply the local market.
Under the framework, Iraq’s State Organization for Marketing of Oil (SOMO) will handle sales of crude in northern Iraq, priced at the Kirkuk blend official selling price.
International oil companies will receive payments in arrears from the sale of their allocations at the Turkish port of Ceyhan through their nominated traders.
The first transfer, set at $14 per barrel, is expected in December, with the payment model scheduled for review next year. Discussions are ongoing over how to settle outstanding receivables from earlier sales.
The restart of pipeline exports, halted since early 2023, is expected to provide a financial boost to both Baghdad and Erbil while reinforcing investor confidence in Iraq’s energy sector.
The Iraq–Turkey pipeline has capacity for more than 400,000 barrels per day and is regarded as a critical outlet for northern crude.
DNO remains one of the largest foreign operators in Iraq’s Kurdistan Region, with producing assets at Tawke and Peshkabir.
