Iraq Begins Construction of Strategic 700km Basra-Haditha Pipeline to Diversify Export Routes

Iraq officially broke ground on May 1, 2026 for a 700-kilometer pipeline linking the southern oil hub of Basra to Haditha in Anbar Province, with an initial $1.5 billion budget allocation. Designed to carry up to 2.5 million barrels per day at full capacity, the pipeline is intended to diversify Iraqi crude export routes to Turkey (Ceyhan), Syria (Baniyas), and Jordan (Aqaba), reducing dependence on the Strait of Hormuz, which had been closed or severely disrupted since late February 2026 due to the US-Iran regional war. The project reflects Iraq's urgency to establish alternative export corridors as its southern port revenue stream collapsed from ~4.3 million bpd to under 1 million bpd during the Hormuz crisis.