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Iraq moved on Tuesday to sharply expand crude exports through Türkiye’s Mediterranean port of Ceyhan, aiming to boost flows from 220,000 barrels per day (bpd) to 770,000 bpd within two and a half months, Baghdad's Oil Ministry said.
The Iraqi cabinet approved the plan following a May 20 meeting between Prime Minister Ali Falih al-Zaidi and senior Oil Ministry officials, paving the way for a two-phase increase in exports through the Kirkuk-Ceyhan pipeline, according to a statement from the ministry.
The new target exceeds an earlier goal of 500,000 bpd established after exports resumed in March via northern Iraq's pipeline network, as Baghdad looks for alternatives to the disrupted Strait of Hormuz route.
Alongside the pipeline expansion, the cabinet approved a plan to increase crude exports by truck to neighboring countries to 420,000 bpd in three phases.
The government also authorized the Oil Ministry to move forward with exports through Syria's Mediterranean ports of Baniyas and Tartus after reaching an agreement with Syrian authorities. The contract covers the transportation, storage and handling of Basra Light, Basra Medium and Basra Heavy crude grades, although export volumes were not disclosed.
State-owned oil marketer SOMO will be tasked with securing contracts for the additional export volumes, while fluid catalytic cracking units at Iraqi refineries will be returned to service, the statement said.
The move comes as Iraq struggles to keep oil flowing after shipping through the Strait of Hormuz nearly stalled following the outbreak of war on Feb. 28.
Oil Minister Basim Muhammad Khudhair previously said Iraq exported 10 million barrels through the waterway in April, a steep decline from 93 million barrels a month earlier, and cautioned that export challenges would likely continue until the conflict is resolved.
Even at full utilization, however, the expanded Ceyhan route would replace only about a quarter of the volumes normally shipped through Iraq's southern export terminals.
Oil exports are particularly critical for Iraq, OPEC's second-largest oil producer, as crude revenues account for roughly 90% of the country's budget.
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