Iraq is exploring alternatives to Iranian gas imports due to U.S. sanctions. The government plans to source gas from Qatar and Oman and is establishing LNG terminals to enhance energy security. Despite an agreement with Iran, actual gas supply has dwindled, prompting further measures to ensure sufficient energy for Iraq’s population.
Iraq is currently seeking alternatives to its reliance on gas imports from Iran, which has been significantly affected by international sanctions. According to a government official, there are plans to explore gas supplies from neighboring Gulf countries. This development follows the recent U.S. decision to no longer extend a sanctions waiver that enabled Iraq to purchase electricity from Iran, though gas imports remain unaffected for the moment.
Iran currently provides approximately one-third of Iraq’s energy needs through its gas and electricity supply. Saad Jassem, an official from Iraq’s Ministry of Electricity, indicated a shift in strategy: “Previously, we only had imports from Iran, but there are government directives and a political will to rely on multiple sources of imports.” The official acknowledged that while Iranian gas imports continue, negotiations for alternative sources are underway.
U.S. diplomatic channels have indicated that the Iraqi government must expedite the elimination of all gas purchases from Iran. Despite the challenges posed by decades of conflict and ongoing power outages in Iraq, preparations are being made for possible interruptions in gas supply. Jassem noted, “We must consider the worst-case scenario — if there is an interruption, we have prepared alternatives.”
Iraq is considering Qatar, known to be the largest natural gas producer in the region, as a potential supplier. Furthermore, Oman has also been identified as a possible source. Additional plans involve negotiations with Turkmenistan for gas deliveries via pipelines through Iran.
In a move to enhance its energy independence, Iraq is establishing two floating liquefied natural gas (LNG) terminals in Khor al-Zubair, anticipated to be operational by June. These facilities could accommodate between 14 to 19 million cubic meters of LNG daily, with potential to increase capacity further. Jassem emphasized the importance of this development, stating, “The question of energy is vital for citizens: cutting off gas would mean a significant reduction in electricity supply.”
The Iraqi government, under Prime Minister Mohammed Shia al-Sudani, aims to achieve self-sufficiency by reducing gas flaring in oil fields by 2028, thus utilizing this gas for electricity generation. While the U.S. has called for a new nuclear deal with Iran, Iran’s own gas supply to Iraq has recently become erratic due to payment delays from Baghdad and increased domestic consumption. Despite an agreement in 2024 for continued gas imports, actual supplies have fallen far short of expectations, severely impacting the electrical grid and sparking public protests over outages, especially during hotter months.
Iraq’s initiative to diversify its gas import sources away from Iran comes as a response to external pressures and internal energy demands. With plans to establish LNG terminals and pursue agreements with Qatar, Oman, and Turkmenistan, Iraq is clearly aiming for greater energy independence and stability. These efforts are critical amidst ongoing challenges in electricity provision, particularly in light of seasonal demands and infrastructural inadequacies.
Original Source: www.newstopicnews.com