Baghdad: Amid one of the most severe disruptions to global energy supply in recent years, Iraq has entered into urgent negotiations with Iran to secure safe passage for its oil tankers through the strategically critical Strait of Hormuz. The move reflects growing concern in Baghdad over the escalating conflict in the Gulf, which has severely curtailed crude exports and shaken global oil markets.
Iraq’s Oil Minister Hayan Abdel-Ghani confirmed that discussions are underway with Tehran to ensure that Iraqi vessels can navigate the narrow waterway without coming under attack. The talks come at a time when repeated strikes on oil tankers and heightened military hostilities have made shipping through the strait extremely dangerous.
The Strait of Hormuz, one of the world’s most vital maritime chokepoints, has effectively been paralysed by the ongoing conflict linked to the wider Iran war. The waterway typically carries nearly one-fifth of global oil and liquefied natural gas supplies, but recent weeks have seen a dramatic collapse in tanker traffic due to missile, drone, and naval threats.
Iran’s aggressive posture has played a central role in the disruption. Its forces have reportedly targeted multiple commercial vessels and warned against transit through the strait, leading to a near-total halt in shipping activity. In response to earlier military strikes by the United States and Israel, Tehran has tightened its grip over the passage, further intensifying fears of a prolonged energy crisis.
For Iraq, whose economy depends overwhelmingly on oil revenues, the consequences have been immediate and severe. Export bottlenecks have forced production cuts, while storage facilities are nearing capacity due to the inability to ship crude abroad. This has made securing even limited safe passage through Hormuz a top national priority.
In parallel with diplomatic engagement, Iraq is also exploring alternative export routes to reduce its dependence on the volatile Gulf corridor. Authorities have announced plans to revive the long-dormant Kirkuk–Ceyhan pipeline linking northern oil fields to Turkey’s Mediterranean coast. If restored, this route could provide a crucial bypass to Hormuz, allowing exports to continue even amid maritime insecurity.
However, the pipeline revival faces technical and political hurdles. The infrastructure has remained largely inactive since 2014 following attacks by Islamic State militants, and it now requires urgent inspection and repairs. Additionally, tensions between Baghdad and the Kurdistan Regional Government (KRG) over control and revenue-sharing of oil exports continue to complicate progress.
The broader geopolitical environment remains highly volatile. Iran’s ongoing strikes across the Gulf, including attacks on oil infrastructure and neighboring states, have heightened fears of a wider regional war. Meanwhile, international efforts to secure the strait through military escorts have faced resistance, with experts warning that naval protection alone cannot guarantee safe passage in such a high-risk conflict zone.
Global oil markets have already reacted sharply to the crisis. Prices have surged past the $100 mark amid tightening supplies and uncertainty over future shipments, raising concerns about inflation and economic instability worldwide.
Against this backdrop, Iraq’s outreach to Iran underscores a pragmatic shift toward direct regional diplomacy, as countries increasingly seek bilateral arrangements to safeguard their economic lifelines.