Iraq, Turkey extend Kirkuk–Ceyhan oil deal

Iraq and Turkey have reached a new one-year agreement to extend an expired deal governing crude oil exports through the Iraq–Turkey pipeline. The extension is intended to keep oil flowing and increase volumes through the route at a time when regional shipping is under strain. The deal focuses on sustaining exports rather than reshaping the structure of the existing pipeline arrangement.

The agreement centers on maintaining and boosting crude shipments along the established corridor between Iraq’s northern oil fields and Turkey’s Mediterranean coast. By renewing the framework for one year, both countries have created a short-term bridge while broader cooperation and infrastructure plans can be pursued separately.

The Iraq–Turkey pipeline runs 986 kilometres, or 613 miles, from the oil hub of Kirkuk in northern Iraq to the Turkish port of Ceyhan on the Mediterranean. This link enables Iraqi crude to reach global markets without relying on Gulf export terminals. The route is a key outlet for Iraqi producers seeking diversified access to international buyers.

Under the updated understanding, the pipeline’s export capacity is around 750,000 barrels per day. Multiple accounts describe this figure as the level reserved or minimally available for Iraqi crude flows through the line. This capacity underpins the pipeline’s role as a significant corridor for regional oil exports.

Turkish Energy Minister Alparslan Bayraktar stated that the one-year transit arrangement was signed between Turkey’s state energy company BOTAS and Iraq’s state oil companies SOMO and NOC. These entities manage the commercial and logistical aspects of crude transit along the pipeline. Their involvement formalizes cooperation at the state-company level for the duration of the extension.

The structure of the transit deal focuses on securing daily capacity rather than redefining ownership or constructing new infrastructure. By specifying a daily capacity of 750,000 barrels, the agreement gives Iraqi exporters clarity on available volumes while providing Turkey with predictable throughput on its territory.

The renewed pipeline arrangement is being framed as a way to secure an export route that bypasses the Strait of Hormuz. This comes amid disruptions and heightened risk in that waterway tied to the US-Iran war. Maintaining an overland corridor through Turkey offers an alternative path to market for Iraqi crude.

In this context, the Kirkuk–Ceyhan line functions as a strategic complement to sea routes dependent on Hormuz. The one-year extension helps ensure that Iraq retains significant export capacity even when maritime chokepoints face uncertainty. For Turkey, it reinforces the country’s role as a transit hub between regional producers and global energy markets.