Iraq denies OPEC exit threat, urges quota review

Iraq’s Oil Ministry has firmly denied claims that Baghdad is threatening to leave the Organization of the Petroleum Exporting Countries, following a Bloomberg report suggesting the country could reconsider its membership if its production quota is not raised. The ministry stated that such reports “do not reflect the official position of the Iraqi government,” adding that neither the prime minister nor the government has raised the issue of withdrawal.

Quota reassessment

Instead, the ministry has consistently emphasised the need to reassess production ceilings in line with the sustainable production capacities of member states, as well as understandings related to Iraq’s security and economic situation. It noted that OPEC and allied producers have already responded to such concerns by launching a process to reassess members’ maximum sustainable production capacity, in coordination with an independent international consulting firm, with Iraq’s active participation.

Special situation and outlook

The ministry highlighted that member states have shown a “high level of understanding” of Iraq’s “special situation,” citing the impact of more than 40 years of wars, embargoes, and infrastructure damage, including terrorist sabotage attacks on oil facilities. These conditions should be taken into account to allow Iraqi oil output to reach a fair level and enable the country to regain its position as the second-largest producer among OPEC member states. The full resumption of voluntary cuts is scheduled for the coming months, a move expected to strengthen Iraq’s production ceiling.