Monday, March 7, 2022

Prices and Profits Continue For Iraq’s Oil Industry


Iraq’s oil exports recovered from a slight dip in January 2022. Petroleum prices also continued to rise driven by fears over the Russia’s invasion of Ukraine.

 

In February Iraq exported an average of 3.314 million barrels a day. That was up from 3.203 million in January. Iraq’s petroleum sales have been steadily rising as its production quota has been increased under the OPEC+ agreement. That made February’s mark the highest since April 2020.

 

Iraq has also benefited from tensions over the world energy market now being driven by the war in the Ukraine. That has led prices to edge towards the $100 mark for the first time since 2014. In February a barrel of Iraqi crude went for $92.08. At the start of 2021 prices were in the $50 range. That’s all been good news for Iraq which is the most oil dependent country in the world.

 

The country earned $8.54 billion as a result. In January it made $8.27 billion which was the highest amount since August 2013. Profits can be expected to continue to rise in the coming months.

 

That will likely lead to another inflated budget full of increased spending on government workers which is unsustainable in the long run. Iraq’s politicians don’t care however because they are only concerned about their patronage networks that keep them in power.

 

Federal Oil Exports, Prices, Revenues 2019-2021

Month

Avg Export (Mil)

Avg Price

Earnings (Bil)

Jan 2019

3.649

$56.15

$6.367

Feb

3.621

$60.83

$6.179

Mar

3.377

$63.80

$6.709

Apr

3.466

$67.41

$7.021

May

3.572

$66.68

$7.329

Jun

3.52

$60.58

$6.372

Jul

3.566

$61.15

$6.692

Aug

3.603

$57.41

$6.413

Sep

3.576

$59.14

$6.321

Oct

3.447

$57.15

$6.121

Nov

3.5

$59.82

$6.305

Dec

3.428

$63.05

$6.698

2019 Avgs

3.527

$61.09

$6.543

Jan 2020

3.306

$60.14

$6.163

Feb

3.391

$51.37

$5.053

Mar

3.391

$32.73

$2.962

Apr

3.438

$13.80

$1.51

May

3.212

$21.00

$2.136

Jun

2.816

$33.86

$2.871

Jul

2.763

$40.70

$3.492

Aug

2.597

$43.69

$3.492

Sep

2.613

$40.40

$3.173

Oct

2.876

$38.48

$3.457

Nov

2.709

$41.77

$3.404

Dec

2.846

$47.76

$4.235

2020 Avgs

2.996

$38.80

$3.493

Jan 2021

2.868

$53.29

$4.765

Feb

2.96

$60.33

$5.013

Mar

2.946

$63.32

$5.787

Apr

2.947

$62.77

$5.549

May

2.899

$65.84

$5.917

Jun

2.892

$70.77

$6.143

Jul

2.918

$72.00

$6.476

Aug

3.054

$69.01

$6.553

Sep

3.081

$73.32

$6.777

Oct

3.12

$79.27

$7.666

Nov

3.272

$77.33

$7.611

Dec

3.277

$72.80

$7.391

2021 Avgs

3.019

$68.33

$6.303

Jan 2022

3.203

$83.82

$8.32

Feb

3.314

$92.08

$8.54

 

SOURCES

 

NRT, “Iraqi Oil Revenue For February Tops $8 Billion,” 3/1/22

 

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