New Iraqi prime minister, Mohammed Shia al-Sudani
Government formation promises relief from Iraq’s upstream stasis
The new administration’s close ties to Tehran could mould its stance towards potential IOC investors
Iraq’s oil sector has been frozen since elections last year, paralysed by the caretaker government’s constitutional inability to make major policy and spending decisions. While rival Mideast Gulf producers and their foreign partners have spent their oil price windfalls on turbocharging upstream development, Baghdad is lagging, even though it is set to end the year with its coffers at their plumpest for nearly 20 years. As a result, the belated appointment of a new government in late October was greeted by the country’s IOC investors with a general sigh of relief. But the sentiment was largely detached from the character of the administration, moulded as it is by a tactical victory after year
Also in this section
3 March 2026
The killing of Iran’s Supreme Leader Ayatollah Khamenei in US–Israeli strikes marks the most serious escalation in the region in decades and a bigger potential threat to the oil market than the start of the Russia-Ukraine crisis
2 March 2026
A potential blockade of the Strait of Hormuz following the escalating US-Iran conflict risks disrupting Qatari LNG exports that underpin global gas markets, exposing Asia and other markets to sharp price spikes, cargo shortages and renewed reliance on dirtier fuels
2 March 2026
The South Asian consumer’s next move could tighten the Middle East oil market overnight
2 March 2026
Canadian independent’s evolving portfolio in Trinidad and Tobago gives it access to the Atlantic LNG market and a close-up view of developments in neighbouring Venezuela
