Updates: Iraq & Iran Relations.

[Luigi1]

Here's some articles of Dinarian interests...

-Couterfeit Currency & Unmarked Gold Dealers Busted In Iraq.

-Geopolitical Controls Push Towards Shifting To Official Channels For Currency Trading.

-A Boom In Investment In Gas & Raising Its Rate To 67%.

-Iraq-Kurd-Turkey Pipeline Is Open For Business.

Treat as rumors.  Not verified.  Your opine.

 

KTFA via Clare:  Counterfeit Currency & 'Unmarked' Gold Dealers Busted In Iraq.

ARTICLE:  The National Security Service announced, on Monday, the arrest of promoters of counterfeit currencies and traders of "unmarked" gold in Baghdad and the provinces of Dhi Qar & Diwaniyah.

 

The agency said in a press statement received by Shafaq News Agency, "Two suspects were arrested in Baghdad in the Al-Baladiyat area, who were promoting counterfeit local & foreign currencies. 3,400 counterfeit USD in 100-Dollar bills were seized in their possession, in addition to various amounts of counterfeit Iraqi Dinars."

 

He continued, " In Dhi Qar, an illegal commercial complex was raided for selling unmarked gold.  It was found that its owner was offering usurious loans to citizens in exchange for seizing Key Cards and Master Cards.  122 cards, a gold piece, four seals, records of the dealers, electronic devices, & an amount of 12 million and 750 thousand Dinars were seized."

 

He pointed out that "in Diwaniyah, the apparatus' detachments were able to overthrow a gang specializing in promoting counterfeit currency, where an ambush was set up for one of the gang members & two suspects (a man and a woman) were arrested red-handed while exchanging counterfeit money & an amount of 215 thousand counterfeit USD was seized in their possession, in addition to the vehicle they were riding in." 

 

-Clare:  Geopolitical Controls Push Towards Shifting To Official Channels For Currency Trading;

Mazhar Muhammad Salih, the financial advisor to the PM, confirmed that the geopolitical controls imposed on informal trade contribute to expanding dealings with official outlets for foreign currency, which contributes to financing foreign trade through the sound international financial system.

 

He pointed out in his statement to {Euphrates News} that "this shift aims to move away from informal financing from the parallel Dollar market intensively, especially with the change in the behavior of small traders in avoiding the parallel market linked to the countries' regional & geopolitical problems." 

 

Saleh added that "this shift comes in the context of the importance of increasing Iraq's foreign reserves & confronting money smuggling operations, in addition to facilitating external transfer operations through Iraqi banks that deal with international banking correspondents, at an official ER of 1,320 Dinars per Dollar."

 

He also stressed that the end of the compliance platform phase adopted by the CBI in the past two years & the country's entry into a new phase has contributed to providing great flexibility in financial transfers through official channels.  

 

Clare:  Oil Minister: A Boom In Investment In Associated Gas & Raising Its Rates Tto 67%.

Deputy PM for Energy Affairs & Minister of Oil Hayan Abdul-Ghani Al-Sawad received today, Monday, a German delegation that includes representatives of the German Embassy in Baghdad, the German Chamber of Commerce & companies specialized in various oil & non-oil fields.

 

Abdul Ghani confirmed, in a statement from his office, a copy of which was received by {Euphrates News}, "Iraq is keen to cooperate with various parties, including German companies, which have a long history in the field of industry & are of high quality & acceptable in Iraq."

 

He pointed out that "Iraq has made great strides in the field of developing the oil industry & in particular the optimal investment of gas, as Iraq has achieved, during the life of the government, a great leap in the field of investment in associated gas & raised investment rates from 53% to more than 67% & Iraq is determined to stop flaring gas & achieve self-sufficiency in 2028."

 

Abdul Ghani explained that "the ministry has major projects in the gas investment sector, the most important of which is the gas development project in Basra with Total to invest 600 cubic meters in two phases, in addition to other projects in the field of gas field development, as the ministry signed contracts to develop the Mansouriya & Akkas fields & signed contracts to develop 14 fields & exploration areas, which were offered in the 5th & 6th supplementary licensing rounds."

 

He added, "The ministry has investment opportunities for gas & oil exploration fields & blocks from the last licensing round that have not been referred.  The ministry is working to develop them through investment projects with specialized international companies."

 

German companies presented a review of their activities & offers to work and cooperate with the Ministry of Oil & its formations, in the fields of exploration, pipelines, laboratories, training & the provision of equipment, tools & supplies for oil facilities.  

 

-Clare:  Iraq-Turkey Pipeline Reopening Pressures Oil Prices, Signals Potential Market Shift.

ERBIL: Oil prices experienced volatility as news of the anticipated reopening of the Iraq-Turkey pipeline raised expectations of increased supply, despite Iraq’s ongoing commitment to OPEC+ production constraints, according to a report by Robin Mills, CEO at Qamar Energy, published in the Energy This Week newsletter on Monday.

 

Mills noted that crude oil prices ended higher on Monday but dropped on Tuesday following reports that the Iraq-Turkey pipeline is set to resume operations.  The country’s deputy oil minister, Bassem Mohammed, recently confirmed that 185,000 barrels per day (bpd) from the Kurdistan Region could be exported after domestic allocations are met.  Before its closure in March 2023—following an arbitration ruling—the pipeline transported around 450,000 bpd.

 

“The market is reacting to the possibility of higher supplies, but Iraq is still constrained by its OPEC+ commitments,” Mills stated.  He added that while the pipeline’s reopening may put downward pressure on oil prices in the short term, long-term impacts will depend on Iraq’s ability to balance exports with production limits.

 

Mills also highlighted the role of U.S. diplomatic efforts in pushing for the pipeline’s resumption.  “Washington has been applying pressure on Baghdad to restart exports through the pipeline, which requires an agreement between the federal government & the Kurdistan Regional Government (KRG) on Budget Allocations & payments to int'l oil companies,” he explained.

 

Meanwhile, British Petroleum (BP) has reinforced its presence in Iraq’s energy sector by finalizing a deal to redevelop the massive Kirkuk oil fields in the country’s north.  Mills pointed out that BP, part of the original consortium that discovered Kirkuk’s oil in 1927, estimates the contract area contains up to 20 billion barrels of oil equivalent.  “This redevelopment could help Iraq secure a higher production quota within OPEC+,” he noted.

 

However, BP itself faces challenges, and Mills referenced recent discussions suggesting that a merger with Shell could strengthen the struggling British energy giant.

 

Iraq’s Energy Sector & Geopolitical Pressures.

Iraq, OPEC’s second-largest oil producer, has long grappled with balancing its production ambitions against OPEC+ output agreements.  While Baghdad seeks to increase exports to boost revenue, it remains bound by cartel-imposed limits, a tension that has led to periodic disputes.

 

Mills emphasized that the reopening of the Iraq-Turkey pipeline is particularly significant for the Kurdistan Region, which has faced financial strain since the shutdown. 

 

The U.S. has been actively working to counter Iran’s influence in Iraq, particularly following President Donald Trump’s return to office.  By pressuring Baghdad to resume pipeline exports, Washington aims to strengthen its economic ties with Erbil while reducing Tehran’s leverage over Iraq’s energy sector.

 

As Iraq navigates these complex political and economic dynamics, the coming months will be crucial in shaping the country’s energy strategy amid shifting global market conditions & geopolitical maneuvering.  

[Luigi1]

Here's F26 two cents worth...Hidden ER & Ramadan...

 

 

Frank26:    Hidden ER.  

ARTICLE:  I’m going to tattoo 4782 on my arm. 

That’s the Gazette number we think is hiding the new ER.

 

 

Frank26:    RV During Ramadan?

Question: “Will Ramadan affect the timing of the ER?

Are you asking me because Kuwait went through an RI during Ramadan?  

IMO that was just a coincidence.

Let’s just say my friend [Firefly] has purchasing power.

Do you think it would be wise for him to celebrate, to run out in the streets during a religious event, wouldn’t it be rather sacrilegious for them to even consider?  

“I’m rich!” Or “I got purchasing power!” during a holy solemn time?

It sure as heck can happen during Ramadan but I don’t want you to think it’s going to happen because of Ramadan.

IMO.  Frank26  

 

[Luigi1]

Here's Pimp's two cents worth...non oil revenues expected to rise by 3.5% in 2025...

 

 

Pimpy:   Non Oil Revenues Expected To Rise By 3.5% in 2025.

Article: “The IMF expects Iraq’s non-oil economy to continue to grow by 3.5% in 2025”  

This is important. 

They rely too much on oil sales to fund their budget& since they rely so much on the oil sales this is one of the things contributing to the fact that the Iraqi Dinar is so devalued.  

Because all it takes is one situation to happen in the oil market & it could tank the entire country like we saw in 2019 & 2020.  

The more non-oil revenue they could generate the better.