New Refinery in Iraq

Iraq announces new refinery. Located in Kerbala, it should help the country reduce its fuel imports.

Partagez:

Iraq launched on Sunday the testing of a new oil refinery, a project that should help the black gold-rich country to largely reduce its fuel imports, officials said.

The Minister of Oil, Ihsan Ismail, announced in a statement the start of “test operations of production units at the oil refinery in Kerbala” in central Iraq.

The project will eventually refine 140,000 barrels per day (bpd), “contributing in a short time to reduce imports and cover local consumption” of fuels, including gasoline and diesel, according to the statement.

The production of oil derivatives will begin in earnest at the beginning of 2023, the ministry had previously announced.

Iraq is the second largest country in the Opec and exports an average of 3.3 million barrels of crude oil per day. With its immense hydrocarbon reserves, black gold represents more than 90% of its income.

In a country ravaged by decades of war and conflict, where public mismanagement and endemic corruption are slowing down reconstruction efforts and the implementation of reforms, Iraq, despite its huge oil windfall, is still waiting for major infrastructure projects to materialize.

“The Kerbala refinery will supply about 20 petroleum derivatives, especially high-octane gasoline,” said a spokesman for the oil ministry, speaking on condition of anonymity.

This is “the first refinery with such production capacity to be built since the 1980s″, he told AFP.

The refinery will produce nine million liters of gasoline per day, which is “more than half” of the 15 million liters imported by Iraq, Ihsane Moussa Ghanem, deputy director of the Iraqi agency for the distribution of petroleum products told AFP.

The country, which has three refineries in operation, already produces locally half of its daily needs, or about 30 million liters, and imports the rest, he said.

British company Prax Group has filed for insolvency, putting hundreds of jobs at its Lindsey oil site at risk, according to Sky News.
Orlen announces the definitive halt of its Russian oil purchases for the Czech Republic, marking the end of deliveries by Rosneft following the contract expiry, amid evolving logistics and diversification of regional supply sources.
Equinor and Shell launch Adura, a new joint venture consolidating their main offshore assets in the United Kingdom, aiming to secure energy supply with an expected production of over 140,000 barrels of oil equivalent per day.
Equinor announces a new oil discovery estimated at between 9 and 15 mn barrels at the Johan Castberg field in the Barents Sea, strengthening the reserve potential in Norway's northern region.
Faced with recurrent shortages, Zambia is reorganising its fuel supply chain, notably issuing licences for operating new tanker trucks and service stations to enhance national energy security and reduce external dependence.
The closure of the Grangemouth refinery has triggered a record increase in UK oil inventories, highlighting growing dependence on imports and an expanding deficit in domestic refining capacity.
S&P Global Ratings lowers Ecopetrol's global rating to BB following Colombia's sovereign downgrade, while Moody’s Investors Service confirms the group's Ba1 rating with a stable outlook.
Shell group publicly clarifies it is neither considering discussions nor approaches for a potential takeover of its British rival BP, putting an end to recent media speculation about a possible merger between the two oil giants.
The anticipated increase in the tax deduction rate may encourage independent refineries in Shandong to restart fuel oil imports, compensating for limited crude oil import quotas.
Petro-Victory Energy Corp. starts drilling of the AND-5 well in the Potiguar Basin, Brazil, as the first phase of an operation financed through its strategic partnership with Azevedo & Travassos Energia.
The Texan Port of Corpus Christi has completed major widening and deepening work designed to accommodate more supertankers, thus strengthening its strategic position in the US market for crude oil and liquefied natural gas exports.
BP Prudhoe Bay Royalty Trust is offering its interest in Prudhoe Bay, North America’s largest oil field, as part of its planned dissolution, assisted by RedOaks Energy Advisors for this strategic asset transaction.
CNOOC Limited’s Hong Kong subsidiary and KazMunayGas have concluded a nine-year exploration and production contract covering nine hundred and fifty-eight square kilometres in Kazakhstan, sharing investment and operations equally.
Donald Trump announced that the United States will no longer oppose Chinese purchases of Iranian oil, immediately triggering a drop in global crude oil prices and profoundly reshaping international energy trade partnerships.
Research firm S&P Global Commodity Insights lifts its outlook for the fourth straight year, betting on three point five mn barrels per day from 2025 despite lower prices.
Enbridge plans to expand its infrastructure to increase oil transportation from the American Midwest to the Gulf Coast, anticipating rising exports and addressing current market logistical constraints.
US commercial crude inventories significantly decline by 3.1 million barrels, widely surpassing initial forecasts and immediately pushing international oil prices higher.
The UK could have hydrocarbon reserves twice as large as current official estimates, according to Offshore Energies UK, highlighting the impact of fiscal policies on forecasts and the economic future of the North Sea.
Following US strikes in Iran, international energy companies partially evacuate their teams from Iraq as a precaution, while Lukoil maintains its entire personnel on southern oilfields.
Chinese independent refineries remain cautious amid rising Iranian crude prices driven by escalating Iran-Israel tensions, potentially threatening access to the strategic Strait of Hormuz.