Energy minister, Iraqi oil minister discuss Basra-Aqaba pipeline developments

Minister of Energy and Mineral Resources, Hala Zawati, discussed with Deputy Prime Minister for Energy and Iraqi Oil Minister, Thamir Ghadhban, in Baghdad on Thursday the developments of Iraq's export pipeline through the port of Aqaba.
Ghadhban briefed Zawati on the decision of the Iraqi government to approve the pipeline project to export Iraqi oil from the oil fields in Rumaila in Basra to the port of Aqaba.
According to a statement put out by the Ministry of Energy and Mineral Resources on Thursday, Minister Zawati stressed the importance of the Iraqi government's decision to approve the project, which transfers about one million barrels of oil per day from the city of Basra for export through the port of Aqaba on the Red Sea.
Zawati said the approval of the Iraqi government will be followed by the signing of an agreement between Jordan and Iraq, then implementation of the pipeline project, which will extend from the city of Basra to the oil refinery in Zarqa, will begin.
Jordan and Iraq agreed during the ministerial meeting held in Baghdad early this year, headed by the two countries' prime ministers, to move forward with the project, estimated to cost about $5 billion, which serves the joint interests by opening a new port for Iraq's oil exports and granting Jordan the right to buy 150,000 barrels of oil per day.
Zawati praised the brotherly relations cooperation between Jordan and Iraq, especially in the field of energy, stressing the importance of joint projects to serve mutual interests.
Last Tuesday, Iraqi Prime Minister Adel Abdul-Mahdi announced the Council of Ministers approved the Iraqi-Jordanian oil pipeline project, stressing any impediment to the export of oil through the Strait of Hormuz will affect the Iraqi economy, which depends on oil imports, adding the Iraqi government is considering alternatives to find diverse routes to ensure the continuation of Iraqi oil exports in a swift manner.
For his part, Ghadhban said the Iraqi government approved the export of one million barrels of oil per day through the implementation of a pipeline project from oil fields in Rumaila in Basra to the port of Aqaba on the Red Sea.
On the other hand, the two ministers discussed the latest developments in supplying Jordan with about 10 thousand barrels of crude oil per day.
Zawati announced the necessary procedures to start the deliveries are in their final stages, and will begin before the end of July.
Iraq agreed last January to supply Jordan with 10 thousand barrels of oil per day of Kirkuk crude from the Baiji plant according to a price formula linked to Brent price, with transport costs deducted.

11 July 2019