Iraq to require investments to fully restore oil output capacity

Baghdad (IraqiNews.com) – Chief economist at the Washington-based Institute of International Finance, Garbis Iradian, has said that Iraq will need time and will have to make investments to restore southern oil fields to full capacity. Iradian told Zawya Projects that Iraq’s key oil fields have been negatively affected by the forced shutdowns during the conflict between Israel, the United States, and Iran. Experts see that Iraq must make substantial investments in its supergiant oilfields to regain full operating capacity after the present crisis in the Strait of Hormuz is ended. According to Fatih Birol, the president of the International Energy Agency (IEA), Iraq will need around two years to return to pre-war oil production levels. The situation in the Strait of Hormuz worsened considerably last week when US President Donald Trump decided to impose an embargo on Iranian ports, despite a truce between the two sides scheduled to extend until the middle of this week. Due to the embargo, Tehran declared on Saturday the closure of the strait, where one-fifth of the world’s oil and gas supplies are transported. After the outbreak of the conflict on February 28, Iraq declared a fall in oil output to around 1.2 million barrels per day, down from roughly 4.3 million barrels earlier, as storage facilities hit capacity and regular export routes remained disrupted. The post Iraq to require investments to fully restore oil output capacity appeared first on Iraqi News.

4/20/2026 11:37:50 AM Read more