Iraq’s Cabinet has approved the Basra Oil Company (BOC), Iraq’s largest state-owned oil producer, to sign a heads of agreement (HoA) and a non-disclosure agreement (NDA) with a consortium comprising US-based Capital TI and Chevron, one of the world’s largest oil and gas producers, alongside Qatar’s UCC, a Qatar-based energy, concessions, and construction company, to study strategic oil export pipeline projects, Reuters reported.

HoA is a preliminary agreement outlining the main terms before a final binding contract is negotiated. While an NDA is a legal agreement that requires parties to keep shared confidential information private.

Under the agreements, the consortium will conduct technical and financial feasibility studies for proposed pipeline routes aimed at enhancing Iraq’s crude export infrastructure. The routes under evaluation include the Basra–Haditha–Kirkuk–Ceyhan corridor, which would connect southern Iraq to Turkey’s Mediterranean port of Ceyhan, and the Basra–Haditha–Baniyas route, linking Basra to Syria’s Mediterranean port of Baniyas.

According to the Cabinet, the HoA and NDA are preliminary arrangements and do not impose any financial or contractual obligations on Iraq’s Ministry of Oil.

In a separate decision, the Cabinet authorized Basra Oil Company to sign a consultancy services contract with US engineering firm KBR for the proposed Basra–Haditha oil pipeline project, supporting the technical development of the planned export route.

The proposed pipelines are part of Iraq’s broader efforts to diversify its crude oil export options, strengthen energy infrastructure, and reduce reliance on the country’s southern export terminals.

Notably, Iraq launched drilling operations for a new exploratory well in the northern provinces, marking the first exploration activity in the region since 1978, as part of efforts to expand the country’s hydrocarbon reserves on June 22.