Iraq’s different oil product production in 2024<br />Assist. Prof. Malik Mustafa Mohammed<br />SDG 7 – Affordable and Clean Energy<br />SDG 9 – Industry, Innovation, and Infrastructure<br />SDG 12 – Responsible Consumption and Production<br />SDG 13 – Climate Action<br />Certainly! Below is a -detailed analysis- of Iraq’s oil product production in 2024, focusing on -refined output-, -capacity utilization-, -key refineries-, -export-import dynamics-, and -economic/environmental implications-:<br />1. Refined Product Output vs. Demand-<br />- Gasoline-: <br /> - Production-: ~150,000–200,000 bpd (from Daura, Baiji, and Kirkuk refineries). <br /> - Demand-: ~350,000 bpd (domestic consumption exceeds production, forcing reliance on imports from Iran, Kuwait, and Gulf states). <br />- Diesel-: <br /> - Production-: ~180,000–220,000 bpd (critical for power generation and transport). <br /> - Demand-: ~300,000 bpd (imports cover ~40% of demand). <br />- Fuel Oil-: <br /> - Production-: ~100,000–150,000 bpd (used in older power plants and industrial boilers). <br /> - Excess-: Exported or flared due to limited domestic use. <br />- LPG-: <br /> - Production-: ~30,000–40,000 bpd (captured from associated gas at Basra and Kirkuk fields). <br /> - Demand-: ~20,000 bpd (surplus exported to Jordan and Lebanon). <br />-2. Crude Oil Processing Capacity vs. Actual Output-<br />- Total Refining Capacity-: ~1.2–1.5 million bpd (across 9 refineries). <br />- Actual Output-: ~500,000–700,000 bpd (utilization rate: ~40–50%). <br /> - Key Bottlenecks-: <br /> - Aging infrastructure (e.g., Daura Refinery built in 1935). <br /> - Lack of maintenance due to budget shortages. <br /> - Security risks delaying repairs. <br />3. Export-Import Dynamics-<br />- Crude Oil Exports-: <br /> - ~3.5–4 million bpd (primarily to China, India, and Europe via Basra). <br /> - Revenue: ~$70–80 billion annually (90% of state budget). <br />- Refined Product Imports-: <br /> - ~200,000 bpd of gasoline and diesel from Iran, Kuwait, and UAE. <br /> - Cost: ~$5–7 billion/year (a major drain on foreign exchange reserves). <br />- Exports of Refined Products-: <br /> - ~30,000 bpd of fuel oil and LPG to Jordan, Lebanon, and Syria. <br />4. Gas Flaring and Associated Gas Utilization-<br />- Flared Gas-: ~15 billion cubic meters/year (2023 estimate). <br /> - Loss-: Equivalent to ~300,000 bpd of oil-equivalent energy. <br /> - Environmental Impact-: Releases ~40 million tons of CO₂ annually. <br />- Gas Capture Projects-: <br /> - Basra Gas Plant-: Captures ~1.5 billion cubic feet/day (bcfd) for LPG and power generation. <br /> - Kurdistan Region-: Partnerships with Chevron to capture 0.5 bcfd for domestic use. <br /><br />5. Economic and Environmental Implications-<br />- Economic Costs-: <br /> - Import Dependency-: High costs of refined fuel imports strain the budget. <br /> - Lost Revenue-: Flaring wastes potential $3–4 billion/year in exportable gas. <br />- Environmental Risks-: <br /> - Air/water pollution from refineries and oil fields. <br /> - Soil contamination in Basra and Kirkuk due to spills. <br />6. 2024 Projections and Key Projects-<br />- Karbala Refinery Completion-: <br /> - Expected to add 140,000 bpd of gasoline/diesel by 2025, reducing import dependency. <br />- Basra Refinery Expansion-: <br /> - A proposed 1-million-bpd complex (with UAE/China) could process heavy crude into diesel and jet fuel. <br />- Renewable Energy Integration-: <br /> - Solar farms in Anbar and Basra aim to power oil facilities, reducing diesel generator use. <br />7. Geopolitical and Market Factors-<br />- OPEC+ Quotas-: <br /> - Iraq adheres to OPEC+ cuts (~4.2 million bpd total output cap in 2024). <br />- Pricing Volatility-: <br /> - Global oil prices ($75–90/barrel in early 2024) impact revenue and investment in refining. <br />- -Regional Competition-: <br /> - Gulf states (e.g., UAE, Saudi Arabia) dominate regional refining, limiting Iraq’s export potential. <br /><br />8. Challenges to Scaling Production-<br />- Security Risks-: <br /> - Sabotage and militia activity in southern oil fields (e.g., Basra). <br />- -Corruption-: <br /> - Mismanagement of refinery contracts and budget allocations. <br />- Water Scarcity-: <br /> - Refineries require large volumes of water, competing with agricultural needs. <br />9. Path Forward for SDG Alignment-<br />- SDG 7 (Affordable Energy)-: <br /> - Improve access to clean fuels via LPG expansion and solar integration. <br />- SDG 12 (Responsible Production)-: <br /> - Reduce gas flaring and promote circular economy practices in refineries. <br />- SDG 13 (Climate Action)-: <br /> - Invest in carbon capture and green hydrogen projects (planned for 2030). <br />-Sources for Further Research-<br />1. -Iraqi Ministry of Oil Annual Reports- (historical data and 2024 projections). <br />2. -OPEC Monthly Reports- (production trends and OPEC+ compliance). <br />3. -U.S. Energy Information Administration (EIA)- (global oil market analysis). <br />4. -World Bank Iraq Energy Sector Reports- (refinery modernization plans). <br />5. -Reuters/Bloomberg- (real-time updates on Iraqi exports and pricing). <br />University The First University in Iraq<br />