Turkey and Iraq Seek to Revive Energy Ties with New Pipeline Agreement

Turkey has introduced a draft proposal to Iraq, aiming to renew and expand a critical energy agreement encompassing oil, gas, petrochemicals, and electricity, as confirmed by an Iraqi oil ministry official via state news on Monday. The proposal follows Turkey's announcement of ending a long-standing agreement regarding the Kirkuk-Ceyhan oil pipeline.

The Kirkuk-Ceyhan pipeline, which could channel 1.6 million barrels per day, has been inactive since 2023 following an arbitration court's ruling requiring Turkey to pay $1.5 billion in damages for unauthorized Iraqi exports between 2014 and 2018. Despite this, Ankara is seeking to revive the pipeline, hoping to enhance its strategic role in the region.

Negotiations continue between the two countries as Turkey highlights the pipeline's potential and investments, positioning it as a linchpin for regional projects like the Development Road. This initiative envisions a trade route from Iraq to Europe, potentially extending the pipeline further. Initial funding for the Development Road was allocated by Baghdad in 2023, aiming to foster collaboration and mutual benefit for Turkey and Iraq.

(With inputs from agencies.)