Iraqi oil under the fire of escalation... Baghdad decides the fate of foreign companies

The Iraqi Oil Ministry confirmed that there is no intention to cancel the contracts of foreign oil companies operating in the country, despite the recent security and regional tensions, noting that most companies did not completely halt their operations but merely reduced staff numbers during the escalation period before gradually resuming activity as conditions improved.

Ministry spokesman Salim al-Rikabi said the contracts signed with foreign companies contain clear clauses preventing the termination or cancellation of agreements in such cases, pointing out that any unjustified delay in meeting obligations and timelines could expose companies to legal measures, including fines, contract cancellation, and blacklisting.

Al-Rikabi explained that oil production and export levels are still facing instability, after Iraq’s output before the outbreak of tensions had stood at about 4.3 million barrels per day, affected by a temporary decline in the number of workers employed by some foreign oil companies.