Iraq blames Iran war for $60 billion in lost oil revenue
Baghdad secured a shipping lane through the Strait of Hormuz with the United States while closing most border crossings with Tehran.
By Meera Fletcher ·
Iraq has reached a deal with the United States allowing its oil exports to pass through the Strait of Hormuz via a lane near Oman. Foreign Minister Fuad Hussein announced the agreement during an interview with Al Jazeera. He stated that disruptions from the Iran war have cost the country $60 billion in lost oil exports.
Iraqi energy officials reported that exports rebounded in October after a steep drop the previous month. Shipments rose to approximately 3.5 million barrels per day in October, up from 2.65 million barrels per day in September.
The US Treasury requested that Iraq close all but two of its border crossings with Iran. This move aims to intensify economic pressure on Tehran. One of the remaining open crossings is located in the Kurdistan Region. Baghdad has already shut several crossings in recent weeks, including the Al-Sheeb crossing in the south. Officials cited security and infrastructure upgrades as the reason for the closures. Tehran criticized the changes, stating it received no advance notice from Baghdad.
Incidents in the Strait of Hormuz continue to disrupt maritime traffic. Iran's Revolutionary Guards said four oil tankers were destroyed on Wednesday after hitting naval mines in a prohibited southern route. The group also seized two other vessels.
The Revolutionary Guards reported on Thursday that two oil tankers and a tugboat caught fire in separate incidents while using unauthorized routes. On Sunday, Iran's navy said an oil tanker caught fire after striking a naval mine east of the strait.
