Iraq resumed oil exports via Syria by tanker trucks after disruptions in the Strait of Hormuz – Reuters
Kyiv • UNN
Iraq exports 120,000–150,000 barrels of oil daily through Syria to the Mediterranean. The route became an alternative to the Strait of Hormuz.
Iraq has resumed supplying oil through Syrian territory by tanker trucks, using a route that had been largely inactive for decades. The country is seeking alternative export routes after the war with Iran disrupted shipping through the Strait of Hormuz. Reuters reports, UNN writes.
Details
Hundreds of tanker trucks line up near an oil storage facility outside Basra, from where they head to the Syrian port of Baniyas on the Mediterranean coast.
Since October, Qatari energy group UCC Holding has been transporting between 120,000 and 150,000 barrels of Iraqi oil per day along this route under a contract with the state-owned company SOMO.
The company uses about 6,000 trucks for transportation and plans to expand its fleet to 10,000. Approximately 10,000 drivers work on the route, and a full trip from Basra to Baniyas and back takes up to five days.
How much oil does Iraq plan to export through Syria?
According to a document reviewed by Reuters, the agreement provides for the transportation of 5 million to 14 million barrels of heavy oil over three months at a discount of $38 per barrel.
Of this amount, the company receives about $12 per barrel to cover transportation costs.
Since October 26, UCC Holding has already loaded approximately 1.6 million barrels of oil. From the Syrian port of Baniyas, it is shipped by tankers to refineries in Greece, Italy, Turkey and other Mediterranean countries.
Iraq, the second-largest oil producer in OPEC, views the overland route through Syria as a strategic alternative to exports through the Strait of Hormuz.