Iraq: OPEC’s wild card

Iraqi firefighters battle a blaze started by Daesh insurgents at oil wells near Mosul
Daesh’s destruction of Iraq’s oil infrastructure is one of the key reasons the country says it should be exempt from OPEC’s oil production cuts (source: dpa)
  • Iraq is resisting making cuts in oil production agreed on by OPEC
  • It wants to use its own output data for calculating cuts, giving it more leeway
  • Baghdad also says it should be exempt because of its war against Daesh
  • Other countries could follow Iraq’s lead, rendering OPEC’s decision meaningless

Iraq has emerged as the most recalcitrant member of the Organization of Petroleum Exporting Countries (OPEC), hampering the group’s attempts to cut oil production and push prices up. Stressing disparities in production data and pointing to its burdensome fight against insurgent forces, Iraq – OPEC’s second largest producer after Saudi Arabia – is resisting any output reductions.

Not a subscriber yet?

Subscribe now and get the latest in-depth geopolitical analysis and forecasts from GIS’s unrivaled cadre of experts.

Learn more about our subscription plans.

You can also buy this report for €8.99 Buy

Add your comment