Baghdad -Iraq sent a high-level official delegation last month to Syria to study the technical and economic feasibility to rehabilitate and operate the Kirkuk-Banias pipeline, which is one of the oldest oil export paths in the Middle East.
The move comes within the framework of the Iraqi government’s endeavor to diversify its exporting export benefits and secure sustainable alternatives in light of the current regional challenges.
The visit of the Iraqi delegation is gaining the importance of doubling, as it is the first high -level official visit between the two countries after the political changes that Syria witnessed at the end of 2024, and to crown initial talks that brought the Iraqi Prime Minister to the Syrian President on the sidelines of bilateral meetings held in Qatar earlier this month.
Guarantees and costs
Government Counselor Alaa Al-Fahd said that the visit of the Iraqi delegation to Damascus carried serious indicators focused on discussing ways to rehabilitate the Kirkuk-Banias oil tube.
Al -Fahd said in a comment to Al -Jazeera Net that this visit comes within the framework of the Iraqi government’s endeavor to diversify its export ports to secure the continued flow of Iraqi oil exports when any emergency occurred, as well as enhancing economic cooperation and the integration of Iraq in its regional environment.
Regarding the guarantees of the continued flow of oil through the tube, Al -Fahd stressed the possibility of concluding binding international agreements that guarantee this continuation within a clear legal framework, adding that these guarantees will include joint security and technical supervision on the path of the tube, in addition to the participation of international parties in the form of companies or observers in the operating process, pointing to the importance of agreeing to protect the tube through broader regional understandings that may include countries with influence in Syria such as Russia and Iran.
And on the agreed steps to develop the mechanisms of re -work on the tube, Al -Fahd indicated that there are preliminary procedures for starting with a comprehensive technical survey of the state of the tube followed by the formation of joint Iraqi joint technical committees that include experts and technicians to study the technical and security situation of the tube, and to provide a study on engineering and technical rehabilitation requirements, taking into account the possibility of introducing modern techniques to facilitate work.
He stressed the importance of ensuring the protection of the tube due to the unstable security situation in the region, stressing Iraq’s need for guarantees that prevent the exposure of this vital part of the oil infrastructure to any sabotage.
Al -Fahd explained that the initial estimated cost of the rehabilitation of the tube, which was affected in 2003 and has been negligent since then, ranged between 300 to 600 million dollars, adding that this cost may include replacing damaged parts of the tube.
With regard to financing, he pointed out that the available options include financing through the public budget, or through partnerships with specialized international companies, or through support from regional companies that invest in the project in a manner that ensures an economic achievement of Iraq and Syria.
Sources in the Syrian Ministry of Energy, which recently received its work tasks, told Al -Jazeera Net that the Iraqi oil line project is one of the priority files with the ministry, and is being considered as part of a broader plan for regional cooperation in the energy sector.
Common interests
The oil expert, Ahmed Askar, stressed that Iraq’s tendency towards improving its relations with all neighboring countries represents a necessary step to achieve an economic balance and revitalize the national economy.
Askar discussed in a comment to Al -Jazeera Net, the position of the Iraqi Iraqi pipeline that extends to the port of Banias, which was established in 1952, saying that this line, which is about 800 km long and a pumping card of 300 thousand barrels per day, suffers from severe limitations exceeding 7 decades, and damaged as a result of unstable security conditions and sabotage.
On the economic feasibility of the rehabilitation of the line, Askar said, “With the current production of Kirkuk, which does not exceed 300 thousand barrels per day, the question remains about the ability of this production to meet the power of the line and bear the costs of transportation and rehabilitation,” noting that in the event of plans to increase production in Kirkuk, the reactivation of this oil artery may represent a strategic choice.
Askar pointed out that this path gives Iraq the advantage of direct access to European markets across the Mediterranean.
For his part, economic analyst Saad Al -street says that the line was subjected to large interruptions and bombings in several areas inside Syria.
He says in an interview with Al -Jazeera Net that most technical opinions tend to be the best choice is to create a new line, due to the size of the great sabotage, and because the transport line has not been pumped in oil for many years, this led to great internal erosion with which it is difficult to repair or rehabilitate.
He adds that “the implementation of this project first requires a political consensus between the Syrian and Iraqi governments, followed by an economic agreement between the Iraqi Ministry of Oil and the Syrian Oil Authority,” noting that the signs of this understanding appeared in the recent visit of the delegation of the Iraqi Ministry of Oil to Damascus, in which the issue of reactivating the line was presented.
Financial returns
The academic and researcher in political economy and international relations, Dr. Abdel Moneim Halabi, believes that the project bears a major strategic importance, which goes beyond the technical dimension to reach real economic opportunities that can be reflected directly on Syria.
Halabi tells Al -Jazeera Net that the economic returns for this project are divided into two main parts:
- the firstDirect financial returns that may amount to hundreds of millions of dollars annually enter the state treasury.
- the secondCommercial returns are to obtain quantities of Iraqi oil at reduced prices to repeat them in the Baniyas refinery, which contributes to supporting the Syrian market with oil derivatives.
Halabi notes that the Syrian regime did not disclose the size of these returns in the past, but the collection was “very good compared to the value of the dollar in the 1970s”, pointing out that today’s estimates show great financial capabilities if the project was successfully completed.
The data indicate that if the project is activated, it is expected to turn into an economic crane for the two countries, especially for Syria, which suffers from a chronic fuel crisis, and this line will allow it additional resources and regional partnership opportunities in the field of energy.
Halabi asserts that the success of the project depends on overcoming political obstacles more than technical or logistical, explaining that Iraq has a strategic interest in the use of Syrian ports to compensate for the limited geographical location, and it can manage the project financially and bring the necessary companies and expertise, but rather put it for joint investment through a specialized Syrian company.
Regarding the export port through Turkey to the port of Jihan, Askar explained that “it was an important strategic line for exporting Iraqi oil through the Kurdistan region, but the differences between the federal government and the region of the region, in addition to financial claims from operating companies and a judicial ruling in the interest of Iraq that have not been implemented, led to the suspension of the flow of oil through this line, and this incurred Iraq losses estimated at billions of dollars.”
Challenges
The expert in oil and energy affairs, Assem Jihad, believes that Iraq is seeking to reactivate the Kirkuk-Banias line that has been suspended for nearly 25 years to diversify its export entirely despite the challenges facing the Iraqi oil sector and the restriction of “OPEC Plus” for production and disputes with the region.
Jihad told Al -Jazeera Net that Iraq is facing a challenge in exporting 200 thousand barrels per day from the fields of Kirkuk as it was previously due to the decline in current production, and production is allocated to repeat the northern refineries.
He affirmed the damage of at least 40-50 kilometers of the tube inside the Syrian territories, as Iraq is ready to reform it after the technical evaluation.
