A year after the shutdown of the Iraq-Turkey oil pipeline, efforts to resume flows remain at a standstill due to legal and financial obstacles. The closure of the conduit, which previously transported around 450,000 barrels per day of crude, has resulted in significant losses for Iraq and ongoing disputes between the two countries. Ankara ceased flows in 2023 following an arbitration ruling, leading to a legal impasse and strained geopolitical relations. Despite potential financial incentives for both parties, discussions on restarting the pipeline are currently off the table. International oil companies operating in the Kurdistan region are also seeking compensation for losses incurred since the closure. Efforts to broker a deal, including interventions by the United States, have so far been unsuccessful amidst competing global crises.
Iraq-Turkey Pipeline Closure Enters Second Year Amid Legal and Financial Hurdles