Iraq plans to raise its crude oil exports to China to reach 300,000 barrels per day (bbl/d), according to Mudher Saleh, Iraq’s Financial Advisor, as reported by Zawya.
Doubling the Iraqi crude oil exports to China is part of an oil for reconstruction agreement signed between the two governments in 2019. Per the 20-year agreement, Iraq is exporting 100,000 bbl/d of crude oil to China.
Saleh stressed that the country’s decision on boosting its exports to China would be guided by the benefits accruing to the country, noting that nearly a half-billion dollars have accumulated in Iraq’s sovereign account in China since the deal kicked off in October 2019.
Under this agreement, China has begun working on two projects in the power and oil sectors. These projects are a 1,400-megawatts (MW) thermal power station in northern Baghdad and a strategic oil storage project in southern Iraq, Saleh added, pointing out that these projects are expected to take up to two years to be finished.