Overview
- The cooperation agreement was signed in Washington on Friday by Iraq’s Basra Oil Company and Syria’s Petroleum Company with U.S. Energy Secretary Chris Wright presiding, formalizing plans to rehabilitate the long‑defunct Kirkuk–Baniyas line.
- The U.S. State Department said a U.S.-led international consortium will execute technical and financial work and projected an initial transport capacity of about 2 million barrels per day if rehabilitation succeeds.
- Iraq announced roughly 48 commercial accords with U.S. firms during the summit, collectively reported near $60 billion, and named participants linked to the pipeline plan including Chevron, TI Capital and regional investors.
- The pipeline was built in 1952, has been out of service for decades and is heavily damaged; sources say it likely needs extensive replacement, with reconstruction and safe operation estimated to take roughly two to three years and requiring major security and financing arrangements.
- As a stopgap, Iraq has already trucked crude and fuel through Syria under earlier agreements, a move that reduces short‑term exposure to Hormuz but raises logistics, insurance and regional security questions that could affect export timing and costs.