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A Year after Iraq-Türkiye Pipeline Halt, No Progress to Resume Flows

A worker checks the valve gears of pipes linked to oil tanks at Türkiye's Mediterranean port of Ceyhan, which is run by state-owned Petroleum Pipeline Corporation (BOTAS), some 70 km (43.5 miles) from Adana February 19, 2014. REUTERS
A worker checks the valve gears of pipes linked to oil tanks at Türkiye's Mediterranean port of Ceyhan, which is run by state-owned Petroleum Pipeline Corporation (BOTAS), some 70 km (43.5 miles) from Adana February 19, 2014. REUTERS
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A Year after Iraq-Türkiye Pipeline Halt, No Progress to Resume Flows

A worker checks the valve gears of pipes linked to oil tanks at Türkiye's Mediterranean port of Ceyhan, which is run by state-owned Petroleum Pipeline Corporation (BOTAS), some 70 km (43.5 miles) from Adana February 19, 2014. REUTERS
A worker checks the valve gears of pipes linked to oil tanks at Türkiye's Mediterranean port of Ceyhan, which is run by state-owned Petroleum Pipeline Corporation (BOTAS), some 70 km (43.5 miles) from Adana February 19, 2014. REUTERS

A year after the closure of the Iraq-Türkiye oil pipeline, the conduit that once handled about 0.5% of global oil supply is still stuck in limbo as legal and financial hurdles impede the resumption of flows, three sources told Reuters.

About 450,000 barrels per day of crude once flowed through Iraq's northern oil export route via Türkiye, and its closure has led to the loss of roughly $11 billion to $12 billion for Iraq, the Association of the Petroleum Industry of Kurdistan (APIKUR) estimates.

A restart is not being discussed at the moment, one of the sources with knowledge of the matter told Reuters.

Ankara halted flows on March 25, 2023, after an arbitration ruling found it had violated provisions of a 1973 treaty by facilitating oil exports from the semi-autonomous region of Kurdistan without the consent of the Iraqi federal government in Baghdad.

The court ordered Ankara to pay Baghdad $1.5 billion in damages for unauthorized exports between 2014 and 2018. A second ongoing arbitration case covers the period from 2018 onwards.

Meanwhile, Iraq owes Türkiye minimum payments as long as the pipeline is technically operational - estimated by consultancy Wood Mackenzie at around $25 million per month - as part of the treaty, in theory providing an incentive to restart flows.

Also key to any restart deal are the international oil companies operating in the Kurdistan region, who were forced to halt exports as a result of the pipeline closure. Instead, they can only sell oil locally in Kurdistan at a significant discount.

With more than $1 billion collectively owed in overdue payments for oil delivered between October 2022 and March 2023, according to APIKUR, the group continues to push for compensation in line with their contracts.

The companies have also collectively lost more than $1.5 billion in direct revenue since the closure, the group said.

Despite several meetings, neither APIKUR nor its members have received any formal proposals or agreements from Iraqi or Kurdish officials that would lead to a resumption of exports, an APIKUR spokesperson said.

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Arab World

Palestinians Receptive to Lebanon’s Call to Limit Possession of Weapons in Refugee Camps

The Lebanese-Palestinian Dialogue Committee meets at the government headquarters. (Dialogue committee)
The Lebanese-Palestinian Dialogue Committee meets at the government headquarters. (Dialogue committee)
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Palestinians Receptive to Lebanon’s Call to Limit Possession of Weapons in Refugee Camps

The Lebanese-Palestinian Dialogue Committee meets at the government headquarters. (Dialogue committee)
The Lebanese-Palestinian Dialogue Committee meets at the government headquarters. (Dialogue committee)

Lebanon has started to exert serious efforts to restrict the possession of weapons inside Palestinian refugee camps in the country in line with President Joseph Aoun’s inaugural speech.

The president had demanded that the possession of weapons in the country and the camps be limited to the state.

The Lebanese-Palestinian Dialogue Committee met at the government headquarters in Beirut three days ago to discuss the issue.

All Palestinian factions attended the meeting, and the gatherers agreed to “completely” resolve the Palestinian possession of arms outside the camps. They also agreed to outline how to restrict weapons inside the camps in line with the president’s speech.

The Lebanese state has yet to come up with the mechanism to confiscate the weapons inside the camps.

A Lebanese security source told Asharq Al-Awsat that the arms will be tackled through a political approach drawn up by the government. “It will be carried out by the army with the security agencies and in coordination with the Palestinian factions in the camp, led by the Fatah movement, which is the official representative of the Palestinian people,” it added.

The Palestinians have expressed their “complete understanding” of the issue, it remarked.

The laying down of weapons by Palestinian factions is a step towards all illegal weapons throughout the country being turned over to the Lebanese state, it went on to say.

“There are no longer any excuses for weapons to remain in possession of any organization,” stressed the source.

Lebanese groups will be demanded to lay down their arms after the Palestinian ones do, it added.

In a first, the Palestinian factions have been very receptive to a Lebanese head of state’s demand to cooperate in limiting the possession of weapons in the refugee camps.

Member of the Palestinian National and Central Councils Haitham Zaiter said that the Palestinian Liberation Organization (PLO) recognizes that the camps are part of Lebanese territories, so they come under the authority of the state and its laws.

He told Asharq Al-Awsat that “complete coordination” is ongoing between the Lebanese security agencies and PLO inside the camps where several wanted Lebanese and Palestinian suspects and others from other nationalities have been turned over to the authorities.

The suspects had sought refuge in the camps to avoid justice in the crimes they have committed, he acknowledged.

“The PLO is the sole representative of the Palestinian people inside Palestine and in the diaspora,” he stated.

Moreover, Zaiter explained that Palestinian weapons in Lebanon are either carried by the Palestinian Front for the Liberation of Palestine – General Command (PFLP-GC) outside the camps or by non-partisan individuals inside the camps.

The PFLP-GC laid down its weapons as soon as the Syrian regime of Bashar al-Assad collapsed in December.

Heavy weapons inside the camps had been previously brought in with the aim to undermine the PLO, he added.

Palestinian President Mahmoud Abbas “has constantly called for coordination with Lebanese authorities to limit the possession of these weapons,” Zaiter said.