Resilience was the theme for Iraqi Kurdistan’s oil sector in 2024, with steady local sales enabling IOCs to claw back much of the production lost since the March 2023 closure of the Iraq-Turkey Pipeline (MEES, 31 March 2023). MEES calculates based on company statements that the region’s oil output averaged nearly 290,000 b/d for 2024, up around 50,000 b/d year-on-year. Prior to the shut-in, volumes were typically just below 450,000 b/d.
While local sales have enabled IOCs to generate invaluable cash flow to keep their operations going, prices are around $30/B below international market rates, while there is often considerable month-to-month variation in sales volumes. Production peaked at nearly 315,000 b/d in summer 2024, but dropped back to around 270,000 b/d in Q4 due to seasonal demand, refinery turnarounds and a short-lived political disruption to local trucking following local elections. (CONTINUED - 1228 WORDS)
