popular articles

Iraq boosts gas production and cuts energy imports

Iraq is aiming for gas self-sufficiency within five years, thanks to foreign investment and increased management of domestic production.

Please share:

Iraq is stepping up its energy strategy to achieve gas self-sufficiency within the next five years.
The government announced in September that the country is currently producing 3.1 billion cubic feet of gas per day (Bcf/d), up from 2.9 Bcf in 2022.
This increase is based on a number of initiatives, including the development of new gas fields, such as Mansooriya, which is expected to supply an additional 300 million cubic feet per day (MMcf/d) within four to five years.
This project is part of a consortium involving Petro Iraq and the Chinese company Jera, with the aim of meeting the country’s growing energy needs.
At the same time, Iraq is continuing its efforts to reduce gas flaring, a common practice that wastes a precious resource and affects the profitability of production.
Flaring is one of the major challenges for the authorities, who are seeking to capture these gases and reinject them into the domestic network.
A significant reduction in flaring would not only increase the production of usable gas, but also reduce the country’s dependence on energy imports, particularly from Iran.

The strategic role of foreign investment

The modernization of Iraq’s gas infrastructure relies heavily on partnerships with foreign companies.
In April, several agreements were signed with American companies to develop gas production capacity, notably with GE Vernova and Baker Hughes.
These contracts come at a time when the United States is actively supporting Iraq in its quest for energy independence, wishing to reduce Iran’s regional influence.
Total is also leading a consortium alongside Basrah Oil Company and QatarEnergy to recover flared gas from several oil fields.
This gas will then be used to fuel local power plants, thus limiting the country’s recurrent power cuts.
This type of initiative is essential to stabilize the power grid, which is particularly stressed during periods of extreme heat.

Towards a reduction in imports

One of the Iraqi government’s main objectives is to reduce the country’s dependence on gas and electricity imports, particularly from Iran.
Iraq still imports much of the electricity it uses, due to insufficient domestic production.
These imports are regularly subject to US sanctions, further complicating the situation for the Iraqi authorities.
To overcome these difficulties, the country has signed agreements to increase its own production capacity, notably by capturing gas that is currently flared.
According to recent statements by the Iraqi Oil Ministry, the country is no longer dependent on imports of diesel and white oil.
This represents a major step towards energy independence.
However, complete gas self-sufficiency can only be achieved with further investment and ongoing modernization of existing infrastructures.

Challenges and opportunities

Despite the progress made, Iraq faces many challenges.
The country continues to experience power cuts, particularly during the summer months when energy demand is at its peak.
These interruptions have provoked social unrest in some parts of the country, increasing pressure on the government to speed up the implementation of its energy strategy.
Despite these difficulties, opportunities abound for foreign investors.
Iraq’s energy sector remains attractive due to its vast untapped resources and the urgent need to modernize infrastructure.
The United States, in particular, is seeking to strengthen its influence by supporting Western investment in this sector, and recent discussions between Iraqi Prime Minister Mohammed Shia al-Sudani and US Secretary of State Antony Blinken illustrate this dynamic.
The reopening of the Iraq-Turkey oil pipeline is also seen as a key element in attracting new investment.
This pipeline, crucial for oil exports, would enable Iraq to diversify its outlets and consolidate its economic relations with Western partners.

Long-term outlook

Iraq’s ambition is to position itself as an independent energy player in the region, capable of meeting its own needs and reducing its imports.
However, this goal can only be achieved if current projects come to fruition and the country continues to attract foreign investment.
Gas self-sufficiency, announced for 2028, is an ambitious but achievable goal, provided that infrastructure continues to be modernized and investment flows are maintained.
The development of gas fields such as Mansooriya and the reduction of flaring are key steps in this process.
At the same time, cooperation with foreign companies such as GE Vernova, Baker Hughes and Total testifies to the importance of international partnerships in modernizing Iraq’s energy sector.
Nevertheless, regional instability and fluctuating energy prices could represent further obstacles to achieving these goals.

Register free of charge for uninterrupted access.

Publicite

Recently published in

Washington revives $44 billion Alaska pipeline project to attract Asian partners

The Trump administration is seeking Asian partners to advance a $44 billion Alaska pipeline project aimed at exporting liquefied natural gas to the Indo-Pacific region.
Gunvor USA and PureWest Energy partner to deliver certified low-carbon gas backed by traceability technology and aligned with international standards.
Gunvor USA and PureWest Energy partner to deliver certified low-carbon gas backed by traceability technology and aligned with international standards.
ExxonMobil has signed a memorandum of understanding with state-owned Socar to explore unconventional oil and gas resources in central Azerbaijan, strengthening its long-standing presence in the Caspian Sea region.
ExxonMobil has signed a memorandum of understanding with state-owned Socar to explore unconventional oil and gas resources in central Azerbaijan, strengthening its long-standing presence in the Caspian Sea region.
European Union gas reserves are progressing slowly as LNG imports reach an all-time high in May, amid supply tensions and rising prices.
European Union gas reserves are progressing slowly as LNG imports reach an all-time high in May, amid supply tensions and rising prices.

Russian gas deliveries to Europe via TurkStream rise 10% in May

Gazprom increased its daily natural gas exports to Europe via the TurkStream subsea pipeline, reaching 46 million cubic metres per day in May, according to Reuters calculations.
Naftogaz will fund the purchase of new drilling platforms through a €36.4mn loan from the European Bank for Reconstruction and Development, following a sharp decline in gas production due to Russian strikes.
Naftogaz will fund the purchase of new drilling platforms through a €36.4mn loan from the European Bank for Reconstruction and Development, following a sharp decline in gas production due to Russian strikes.
Natural gas combined with carbon capture achieves emission levels comparable to wind and solar power, positioning itself as an economical alternative to renewables despite intermittency and high battery storage costs.
Natural gas combined with carbon capture achieves emission levels comparable to wind and solar power, positioning itself as an economical alternative to renewables despite intermittency and high battery storage costs.
Flex LNG has finalised a $175 mn lease financing for its Flex Courageous vessel, generating $42 mn in net proceeds as part of a financial restructuring plan announced earlier this year.
Flex LNG has finalised a $175 mn lease financing for its Flex Courageous vessel, generating $42 mn in net proceeds as part of a financial restructuring plan announced earlier this year.

Port Arthur LNG Phase 2 project receives export authorisation to non-FTA countries

Sempra Infrastructure has received approval from U.S. authorities to export 13.5 Mtpa of liquefied natural gas to countries without free trade agreements, marking a key step in developing the Port Arthur LNG Phase 2 terminal.
EOG Resources finalises a $5.6bn acquisition of 675,000 net acres from Encino Acquisition Partners, consolidating its strategic position in the Utica formation and increasing its dividend by 5 %.
EOG Resources finalises a $5.6bn acquisition of 675,000 net acres from Encino Acquisition Partners, consolidating its strategic position in the Utica formation and increasing its dividend by 5 %.
In May 2025, natural gas demand for electricity generation in the United States declined, influenced by cooler weather conditions and a significant increase in solar generation.
In May 2025, natural gas demand for electricity generation in the United States declined, influenced by cooler weather conditions and a significant increase in solar generation.
Cheniere has signed a long-term gas supply agreement with Canadian Natural Resources to support the planned expansion of its Sabine Pass liquefaction terminal in Louisiana from 2030.
Cheniere has signed a long-term gas supply agreement with Canadian Natural Resources to support the planned expansion of its Sabine Pass liquefaction terminal in Louisiana from 2030.

Cnooc plans dry dock for its LNG bunker barge in July

Cnooc will immobilise its Hai Yang Shi You 301 barge in July, temporarily reducing LNG bunkering capacity in China, where only five units handle supply.
The Iraqi federal government initiates legal proceedings against the autonomous region of Kurdistan regarding gas contracts signed with American companies, while Washington reaffirms its support for these strategic energy agreements.
The Iraqi federal government initiates legal proceedings against the autonomous region of Kurdistan regarding gas contracts signed with American companies, while Washington reaffirms its support for these strategic energy agreements.
South Africa aims to revive the exploitation of its shale gas reserves by seeking technological and commercial support from the United States, proposing a major purchasing agreement for American liquefied natural gas.
South Africa aims to revive the exploitation of its shale gas reserves by seeking technological and commercial support from the United States, proposing a major purchasing agreement for American liquefied natural gas.
Several Chinese companies have signed long-term contracts to purchase liquefied natural gas indexed to the U.S. Henry Hub, despite heightened trade tensions and the recent application of specific tariffs on American hydrocarbons.
Several Chinese companies have signed long-term contracts to purchase liquefied natural gas indexed to the U.S. Henry Hub, despite heightened trade tensions and the recent application of specific tariffs on American hydrocarbons.

Jereh deploys AI-powered fracturing platform in Sichuan

Jereh integrates artificial intelligence solutions into its oil operations, increasing fracturing efficiency by 36% through an autonomous electric system tested in the Sichuan Basin.
The Australian government has authorized an extension of the major North West Shelf gas project until 2070, sparking economic, cultural, and environmental debates both domestically and on international liquefied natural gas markets.
The Australian government has authorized an extension of the major North West Shelf gas project until 2070, sparking economic, cultural, and environmental debates both domestically and on international liquefied natural gas markets.
Pacific Energy’s Canadian subsidiary plans to produce liquefied natural gas with one of the lowest carbon intensities in the sector, using low-emission technologies and local carbon credits.
Pacific Energy’s Canadian subsidiary plans to produce liquefied natural gas with one of the lowest carbon intensities in the sector, using low-emission technologies and local carbon credits.
South Africa has proposed a liquefied natural gas import agreement with the United States to strengthen bilateral trade and establish a long-term business partnership.
South Africa has proposed a liquefied natural gas import agreement with the United States to strengthen bilateral trade and establish a long-term business partnership.

Serbia extends gas contract with Russia until 30 September

Belgrade has confirmed the temporary extension of its gas supply contract with Moscow, ensuring the daily delivery of 6 million cubic metres until autumn at an unchanged price.
European gas reserves reach 50.3 bcm, but current injection rates may prevent meeting the 90% regulatory target before November.
European gas reserves reach 50.3 bcm, but current injection rates may prevent meeting the 90% regulatory target before November.
The U.S. federal commission has authorised Venture Global to begin construction of the CP2 plant, a 28 Mt/year LNG terminal that could become the country’s largest.
The U.S. federal commission has authorised Venture Global to begin construction of the CP2 plant, a 28 Mt/year LNG terminal that could become the country’s largest.
The Algerian state utility plans a 56% increase in 2025 investment, targeting domestic network expansion and electricity export growth towards Europe and Africa.
The Algerian state utility plans a 56% increase in 2025 investment, targeting domestic network expansion and electricity export growth towards Europe and Africa.

Advertising