According to informed U.S. government officials, Iraq and Syria will rebuild a long-abandoned oil pipeline to transport oil produced from oil fields in northern Iraq to Syrian ports on the Mediterranean, thus bypassing the Strait of Hormuz.
This pipeline was originally built in 1952, starting in Kirkuk, Iraq in the east and ending in Baniyas, Syria in the west, with a total length of about 800 kilometers and a daily oil transport capacity of 300,000 barrels. The pipeline was severely damaged during the Iran-Iraq War and the Iraq War, and has long been abandoned.
After the outbreak of the Iran war at the end of February this year, Iran and the United States each blocked the Strait of Hormuz, leaving major oil producer Iraq 'choked.' Before the war, 95% of Iraq's exported oil was shipped through the Strait of Hormuz, and 90% of the government's revenue depended on oil income. According to UK-based Vortexa consulting, in May this year, Iraq's seaborne oil exports plummeted to just 8% of the same period last year.
To open up export routes, Iraq has set its sights on this long-neglected pipeline. According to reports, the pump stations and power systems of this pipeline are severely damaged and need to be completely repaired; the repair work may take two to three years.
According to informed sources, with the coordination of U.S. Ambassador to Turkey and Special Envoy for Syria and Iraq James Jeffrey, Iraq, Syria, and related American companies have reached a cooperation agreement on rebuilding the pipeline. The signing ceremony is scheduled to be held later this week in Washington, with the Syrian Transitional Government Foreign Minister Shibani expected to attend.