Iraq suspends oil exports to Jordan for second month amid deal delay

Iraq has suspended crude oil exports to Jordan for a second consecutive month as the two countries await a renewed supply agreement following the expiration of their previous memorandum, an energy source told Shafaq News on March 28.

The halt is attributed to procedural delays related to shipment structuring and the negotiation of preferential pricing, rather than a breakdown in broader energy ties between Baghdad and Amman.

Under the prior arrangement, Jordan imported between 10,000 and 15,000 barrels per day (bpd) of Iraqi crude at below-market prices as part of a bilateral energy cooperation framework designed to support Jordan’s energy security.

The disruption comes amid wider regional uncertainty affecting Iraq’s oil sector. Earlier this week, Iraqi lawmaker Ali Shaddad said Baghdad is assessing alternative export routes as tensions in the Gulf complicate shipments through the Strait of Hormuz and reduce output from southern oil fields.

Among the short-term options under consideration is transporting crude by tanker trucks to neighboring countries, including Türkiye, Jordan and Syria. Shaddad also stressed the need to accelerate strategic pipeline projects, notably the proposed Basra–Aqaba pipeline to Jordan, which is expected to have a capacity exceeding 600,000 bpd, and the Iraq–Türkiye pipeline, capable of carrying around 400,000 bpd.

Iraq relies heavily on oil exports for state revenue, making export route diversification a priority as regional security risks persist.

By Sabina Mammadli