Iraq plans to boost oil production to 6m barrels per day

Iraq has announced plans to increase its oil production to six million barrels per day by 2028, as part of a broader strategy to enhance revenues.

The Iraqi News Agency (INA) reported yesterday that Bassem Mohammed Khudair, the deputy oil minister, said: “The ministry has an ambitious plan to support and maintain production levels to ensure the required quantities for export.”

The official highlighted that “the ministry aims to reach a production level of six million barrels per day by 2028 while achieving self-sufficiency in the required gas quantities for energy and industrial use.”

Iraq, the second-largest crude oil producer within the Organisation of the Petroleum Exporting Countries (OPEC), currently produces an average of 4.6 million barrels per day under normal circumstances, excluding production cut agreements. In July, the country’s average oil exports reached 3.48 million barrels per day, followed by 3.41 million barrels per day in June.

Last Thursday, the Oil Ministry announced a reduction in oil exports to 3.3 million barrels per day, effective from 27 August. This reduction is set to continue in the coming months to ensure production aligns with the quota set by the OPEC+ alliance and to compensate for excess production in previous months.

Iraq is working to boost its financial revenues by increasing oil and associated natural gas production. In 2023, the country’s total oil revenue reached around $97.6 billion, according to data from the Ministry of Oil.

Around a week ago, Minister of Oil Hayan Abdul Ghani revealed that Baghdad plans to offer ten gas exploration blocks to American companies during his upcoming visit to the United States.

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