Turkey And Iraq Have Taken Precautions In Case Of Further Unexpected Developments In The Strait Of Hormuz
- 2.08.2026, 9:07
This decision should preserve an alternative route for oil supplies to global markets.
Turkey and Iraq have agreed to extend the Kirkuk-Ceyhan oil pipeline agreement—which facilitates the export of Iraqi oil to the Mediterranean Sea—for another year. This decision is intended to maintain an alternative route for supplies to global markets amid risks to shipping through the Strait of Hormuz.
This was reported by Bloomberg.
According to the agency, the parties agreed to a temporary extension of the agreement, which expired on July 27. The new agreement is expected to take effect retroactively from the expiration date of the previous agreement, which had been in force for 53 years.
Oil shipments via the pipeline continued uninterrupted during the negotiations.
According to the spokesperson for the Iraqi Ministry of Oil Salim Al-Rikabi, the new agreement allows for the reservation of export capacity of up to 750,000 barrels of oil per day.
At the same time, he clarified that actual shipment volumes will depend on the security situation, the full restoration of production at fields in Iraqi Kurdistan, and the completion of the necessary infrastructure.
Why the Route Became Strategic
The 986-kilometer-long oil pipeline connects Kirkuk, Iraq, with the Turkish Mediterranean port of Ceyhan.
As Bloomberg notes, the extension of the agreement ensures stable exports of Iraqi oil via an alternative route, which is particularly important given the supply disruptions through the Strait of Hormuz caused by the war with Iran.
Turkish Energy Minister Alparslan Bayraktar confirmed the pipeline’s capacity in a post on social media platform X, while the Turkish Ministry of Energy did not provide any official comments.
Turkey Invests in Production in Kirkuk
A provisional agreement was reached after Turkey stepped up its investments in the region’s energy sector.
The state-owned company Turkiye Petrolleri AO (TPAO) announced the acquisition of a 15% stake in BP Energy Company of Kirkuk Limited—a consortium engaged in the redevelopment of oil and gas fields in Kirkuk. The parties have not disclosed the financial terms of the agreement.
In addition, Iraq is building a new pipeline from Basra to Kirkuk, which, once operational, is expected to increase export capacity via the route to Ceyhan.