News Desk: Turkey has submitted a draft proposal to Iraq aimed at renewing and broadening their existing energy cooperation. The proposed agreement would cover not only oil but also gas, petrochemicals, and electricity, according to an Iraqi oil ministry official cited by the state news agency on Monday.
The move follows Ankara’s announcement that it will end the longstanding Turkey-Iraq Crude Oil Pipeline Agreement, in effect since the 1970s, once it expires on July 27, 2026. The decision was published in Turkey’s Official Gazette on Monday.
The key infrastructure at the center of the talks is the Kirkuk-Ceyhan oil pipeline, which once transported up to 1.6 million barrels of oil per day but has been out of operation since 2023. That shutdown followed an arbitration ruling that ordered Turkey to pay $1.5 billion in damages to Iraq for unauthorized oil exports between 2014 and 2018—a decision Ankara is currently appealing.
Despite the legal disputes, Turkey remains eager to revive the pipeline. A senior Turkish official told Reuters that the pipeline could become a “highly active and strategic” asset for the region. The official added that Turkey had made significant investments in its maintenance and emphasized its potential role in broader regional initiatives.
One such initiative is the Development Road project, a major infrastructure plan that includes a high-speed road and rail corridor from Basrah in southern Iraq to Turkey’s border, ultimately connecting to Europe. Ankara envisions the pipeline extending further south along this route, enhancing regional connectivity and trade.
“The Ministry of Oil is in the process of reviewing the draft agreement sent by the Turkish side and negotiating with them regarding it to reach a formula that serves the interests of Iraq and Turkey,” the Iraqi official said.
While Turkey has declared the Kirkuk-Ceyhan pipeline ready to resume operations since late 2023, internal disagreements among Baghdad, the Kurdistan Regional Government, and independent oil producers have stalled a restart.
Ankara believes a renewed agreement and expanded energy cooperation could usher in a “new and vibrant phase” for Iraq-Turkey energy ties, with mutual economic and strategic benefits.
