Iran extended oil exports to Iraq for five years

13 May 2023 6:31 PM

WANA (May 13) – The harsh sanctions imposed by the US and the West have been causing problems for Iran’s oil sales for years. Tehran has many experiences living under sanctions and how to neutralize them.

Dr. Raisi’s government has been pursuing active tactfulness in oil and oil products for a long time. Iran’s oil sales have improved in recent months. There still needs to be complete information on how energy and political men have succeeded in making sanctions ineffective.

Iraq is one of the old trading partners in the energy field for Iran. As the air temperature rises in Iraq, the demand for electricity in this country increases, and Iraq needs to import gas to produce electricity.

A view of the oil exhibition in Tehran, Iran May 14, 2022. Majid Asgaripour/WANA (West Asia News Agency)

On Wednesday, May 10, Javad Oji, the oil minister of Dr. Raisi’s government, traveled to this country to consult with the Iraqi authorities. Today he met and talked with “Ziyad Ali Fazel,” the Iraqi electricity minister. The signing of the memorandum of cooperation between Iran and Iraq in oil, gas, and petrochemicals was one of the focal points of this meeting.

According to this memorandum, these two countries are supposed to cooperate in information exchange, exploration, and development of joint oil areas by integrating these fields.

More importantly, the two old contracts between these countries regarding gas imports from Iran were extended for five years. Iranian Oil Minister Javad Oji confirmed this.

According to the information received from the Iran-Iraq Joint Chamber of Commerce last month, Baghdad buys about 6 billion dollars of gas from Iran annually. The official customs relations between Iran and Iraq are 10 billion and 200 million dollars.

Taking into account smuggled and passenger goods, Iran exports more than 12 billion dollars, of which about 6 billion dollars will be gas and the other 6 billion dollars are non-oil goods carried out by the private sector.