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Iraq’s Bold Move: Prime Minister’s Gas Project in Basra

Iraqi Government Moves Forward on Gas Transport Project in Basra

On March 16, 2025, Prime Minister Muhammad Shi’a is scheduled to visit Basra Governorate to assess the progress of a pivotal gas transportation project from a floating platform. This initiative marks a critical step in addressing the nation’s energy requirements in light of the recent expiration of American exemptions for Iranian gas imports.

Ali Al-Mashwour, a Basra representative and member of the Oil, Gas, and Natural Resources Committee, disclosed that the Ministry of Oil commenced the project approximately 30 days ago, with completion targeted within 120 days. Currently, the project exhibits a progress rate exceeding 33%.

Iraq is also considering contracts with Qatar and the Sultanate of Oman for the import of 200 scales of dry gas. The Ministry of Oil is constructing a transmission line stretching from Khor Al-Zubair to Nazem Shat Al-Basra, spanning 40 km and adhering to international standards with a 42-inch diameter.

Al-Mashwour emphasized that the project is entirely managed by Iraqi teams from the national oil efforts, showcasing Iraq’s capability to implement strategic projects independently. Furthermore, directives from Minister of Oil Hayyan Abdel-Ghani stress the necessity of expediting implementation to ensure the readiness of the line before the summer peak, which traditionally sees a surge in electricity demand.

Historically, Iraq has relied significantly on Iranian gas for its power generation, importing approximately 40% of its energy needs. This dependency has rendered Iraq susceptible to political pressures and fluctuations due to U.S. sanctions on Iran, necessitating periodic exemptions to secure gas supplies.

With the American exemption concluding on March 8, Iraq can no longer import gas from Iran without encountering potential legal and economic ramifications. Consequently, the urgency to seek alternative energy sources has intensified as summer approaches, known for its high electricity consumption.

Industry experts assert that this project aligns with the Iraqi government’s strategy to bolster energy security, minimize waste in the oil and gas sectors, and create employment opportunities through local project implementation. This initiative aims to enhance the country’s energy independence, setting a robust foundation for sustainable growth in the sector.

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