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
21 March 2025
Two recent developments raise the prospect of a revival in northern Iraqi oil and gas fortunes, but familiar obstacles could thwart momentum
20 March 2025
As cash-strapped Western governments commit to substantially raising defence expenditure, a similar dynamic is playing out in Saudi Arabia’s oil and gas sector, as Saudi Aramco maintains it heavy capex push despite reduced revenues
20 March 2025
Tariffs, sanctions and trade conflicts are upending the oil market, impacting crude differentials and shipping rates and creating uncertainty
20 March 2025
While advanced economies debate peak fossil fuel demand, billions of people still lack access to reliable and affordable energy, especially in the Global South
