Iraqi-Syrian Agreement to Rehabilitate the Kirkuk–Banias Pipeline

The Republic of Iraq and Syria have signed a Memorandum of Understanding to rehabilitate and operate the Kirkuk–Banias oil pipeline, which is considered one of the most important export routes in the region. The goal is to increase Iraq’s oil exports and provide an additional outlet to the Mediterranean Sea, separate from the Strait of Hormuz. The project aims to restore the pipeline, which has been out of operation since 2003. When fully operational, it can transport up to two million barrels per day. This initiative is part of broader efforts to enhance economic stability and regional security, as well as to strengthen Syria’s position as a regional energy corridor. The agreement was signed in Washington in the presence of American, Iraqi, and Syrian officials. Chevron Corporation will oversee the technical and financial aspects of the project. It is part of a package of economic agreements valued at approximately $60 billion, including alternative projects to the Strait of Hormuz, through which roughly 20% of global oil supplies pass. Restoring this pipeline is a significant step toward increasing Iraq’s influence, boosting its export capabilities, and reducing dependence on the Strait of Hormuz, thereby minimizing the impact of regional tensions on its oil exports.

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