Iraq Has Discovered A Huge Oil Field
- 9.05.2026, 8:07
Reserves are estimated to be in the billions of barrels, and a major country is already involved in development.
Iraq has announced the discovery of a giant oil field and these deposits have been discovered in the southern province of Najaf. The area of the field on the border with the Arab Emirates is more than 8,700 square kilometers.
This is reported by Euronews.
The exploration area alone contains more than 8.8 billion barrels of raw materials. It is one of the most important discoveries of recent years. During drilling at the Shams-11 well, specialists found light oil. Its initial capacity amounted to 3,248 barrels per day.
Chinese bet on the Iraqi desert
The main partner of Iraq in the production project was the Chinese company ZhenHua Oil. Its subsidiary Qurnain Petroleum Limited is already conducting seismic surveys. The two sides discussed accelerating production and the investors presented a plan for rapid development.
Iraqi Oil Minister Hayan Abdul Ghani also met with Chinese representatives. Baghdad now aims to get its first lucrative oil as soon as possible.
Ormuz crisis and falling revenues
Fast implementation of the production plan is very important for Iraq, as the war in the Middle East has paralyzed the country's exports. Iraq previously produced 4.5 million barrels daily. The country was the third largest producer in OPEC, but now the situation has changed due to the blockage of the Strait of Hormuz.
The figures show a deep crisis:
In March, exports fell to 18.6 million barrels;
revenue was only $1.96 billion;
the drop in revenue reached a critical 71% compared to February;
February's earnings were $6.81 billion.
Baghdad's new logistics strategy
Iraq is accelerating construction of a strategic oil pipeline to the border with Syria.
The new pipe will have an export capacity of 2.5 million barrels per day. It will help reduce dependence on sea lanes.
In total, Iraq has the fifth largest proven reserves in the world. That's 145 billion barrels of oil. The country controls about 9% of the world's resources.
What is the situation in the oil market now
After the mutual shelling of the US and Iranian fleets, global oil prices continued to rise. The market is not risking a fragile truce that could end at any moment.
In the meantime, according to Reuters, the UAE is secretly transporting oil through the Strait of Hormuz. The ships are turning off tracking systems and are at high risk of being attacked by the Iranians.