Iraq bitumen 80/100
Iraq bitumen 80/100 is one of the products that we supply and export
annually to many countries. In the following, we have decided to bring some pieces of news to inform you about the variables in this regard. Respectively,
the outbreak of the Coronavirus and falling oil prices on world markets
have delayed some major energy projects, particularly in the oil and
gas sector, and new projects have struggled to find sufficient funding. Despite these conditions, the competition between the great powers for
control of resources and energy transmission routes continues.Iraq bitumen 80/100
The Iraqi energy industry competes with the United States, Russia, and China
Generally speaking, the great powers make the best use of investment tools
to maintain a presence in energy-producing areas. By investing in
energy infrastructure, countries can both determine the target market for oil
and gas produced from these fields and can reduce the presence and
influence of traditional competitors in the region and the country. According to the latest OPEC figures, Iraq has 147 billion barrels of oil reserves and
3,744 billion cubic meters of natural gas reserves. To be more specific,
this country with its vast oil resources has always been the focus of great powers. Additionally, the low cost of oil production in this country has been a
good incentive to attract foreign investment. In recent years, Chinese,
Russian and European companies have been active in the Iraqi oil industry.
Iraq plans to increase oil production capacity and Iraq bitumen 80/100
As a matter of fact, the countries’ oil production and exports are one of the
most important levers in influencing OPEC decisions, and Saudi Arabia,
using its high production capacity, has been able to repeatedly impose
its demands on other OPEC members who produce less oil. Besides, the
embargo on Iran’s oil exports has led to a gradual decline in Iran’s oil
production and exports, and countries such as Iraq and the UAE can produce
and export more oil than Iran and take Iran’s place in OPEC. In July, Iraq
exported an average of 75.2 million barrels of oil per day;
the country’s oil production in August last year reached a record 97.4 million barrels per day. Last year (2019),
Iraq produced an average of 4,678,000 barrels of oil per day.Iraq bitumen 80/100
The Middle East and Iraq bitumen 80/100
It’s also good to know that Iraq’s short-term plan to increase oil production
to 1.6 million barrels by the end of this year was about to hamper by
falling oil prices and security concerns; According to the plan, Iraq should
produce 7 million barrels per day by the end of 2022, 9 million barrels per day
by the end of 2030, and by the end of 2030. Increasing Iraq’s oil production is
not in the interest of Iran and other major oil-producing countries;
Although Iran is unable to increase production due to US sanctions,
it will not be easy to regain its share of the regional market
once they lift sanctions.Iraq bitumen 80/100
In addition to the above, Iraqi Prime Minister Mustafa Kazemi paid an
official visit to Washington in early August. During the visit, Mr. Kazemi
spoke with US President Donald Trump; following the visit,
Mustafa Kazemi’s office issued a statement announcing the beginning of a
new phase of cooperation and the expansion of the economic
partnership between Iraq and the United States.
Iraqi Prime Minister’s visit to the United States and the influence on Iraq bitumen 80/100
Some Iraqi analysts believe that the Iraqi energy industry benefited the most
from Kazemi’s visit to Iraq. During this trip, they signed several contracts
worth an estimated $8 billion with American companies;
the implementation of these agreements will pave the way for the presence
of companies such as Honeywell International, General Electric,
Stellar Energy and Chevron in Iraq. In fact, US Secretary of Energy Dan Brewit
said during the signing of the agreements that the agreements would play a
key role in Iraq’s energy future; According to him,
American companies are helping Iraq to reach the full potential of its
energy industry.
Continuation of electricity imports from Iran
In recent years, Iraq has faced the problem of supplying the electricity it
needs in some provinces; in previous years, frequent power outages in the
hot months of the year and the government’s inability to address the
power supply problem had sparked numerous street protests. Generally, Iraq’s daily electricity production is currently at 16 to 18 gigawatts;
in the hot seasons and at the peak of demand, Baghdad imports up to 1.2
GWh of electricity per day from Iran on average.Iraq bitumen 80/100
Roughly speaking, the united states have opposed the import of gas
and electricity from Iran, but Iraqi officials have called for the continuation
of Iraq’s exemption from the embargo on energy imports from Iran,
citing the fact that they will not find an alternative to importing electricity
and gas from Iran in the short term. In June of last year (2019),
the Iraqi Ministry of Oil and the American company “Honeywell” signed
a contract for a gas extraction project from five oil fields in Basra province,
the purpose of which was to extract 300 million cubic feet of gas per
day in the first phase of the project.
To sum up …
According to former Iraqi Oil Minister Thamer al-Ghazban, the country could
meet its domestic needs for natural gas and liquefied petroleum gas,
especially to fuel its power plants, by investing in Basra oil fields,
and it would be possible to export gas. It seems that during the visit of the
Iraqi Prime Minister to Washington, the contract with the company
“Honeywell” has become formal, and if this contract becomes operational,
Iraq can provide a significant part of the need for natural gas from
domestic production, and to some extent. Many will solve the
problem of electricity shortages in the coming years.
