Media: Iraq to sign deal to revive oil pipeline with US-backed consortium

Iraq is expected to sign an agreement this week to restart operations on the oil pipeline linking the northern province of Kirkuk to the Syrian port of Baniyas, creating an alternative export route for crude oil, according to US news outlet Al-Monitor, which cited informed sources.

The agreement is expected to be signed with US participation. A consortium comprising US companies Chevron and Capital TI, together with Qatar's UCC, will carry out the technical and economic feasibility study for the project to restore the pipeline's operations, the report said.

According to the sources, Baghdad also plans to sign several additional energy-sector agreements this week.

The Kirkuk-Baniyas pipeline would provide Iraq with an alternative export route that bypasses the Strait of Hormuz, a key global shipping lane.

In March, Ali Nizar, Director-General of Iraq's State Oil Marketing Organisation (SOMO), said Iraq was interested in using the Syrian port of Baniyas as an alternative route for crude oil exports to reduce reliance on the Strait of Hormuz.

By Sabina Mammadli