BUSINESS
Iraq’s Basra-Aqaba Talks Leave Jordan Behind Syria
Washington revived the Basra-Aqaba oil pipeline in July, but Iraq’s wartime barrels and pipeline money went to Syria, Turkey, and a Haditha hub.
Iraqi Prime Minister Ali Faleh al-Zaidi and Jordanian Foreign Minister Ayman Safadi put the Basra-Aqaba oil pipeline back on the table in Washington on July 15, 2026. They also promised to finish a cross-border power link. King Abdullah II sent an invitation for a visit to Amman.
The communiqué treated the Red Sea line as a joint prize. The barrels that actually moved after Hormuz shut went somewhere else, and so did most of the money Iraq is willing to spend on steel.
A Wednesday Meeting in a Washington Residence
The Prime Minister’s Media Office said al-Zaidi received Safadi at his Washington residence during Iraq’s official trip to the United States. The two men talked trade, development, and proceeding with the Basra-Aqaba oil pipeline plus the electricity interconnection, “in a manner that fulfills the aspirations and interests of the two brotherly peoples.”
During the meeting, ways to develop bilateral relations were discussed, along with the possibility of enhancing cooperation in various economic and development sectors, and proceeding with the implementation of the Basra-Aqaba oil pipeline project and completing the electricity interconnection project between the two countries.
Prime Minister’s Media Office, statement issued in Washington, July 15, 2026
Safadi passed on the king’s greetings and restated Amman’s wish to deepen the partnership. Both sides said diplomatic options should lead on regional conflicts. The Oil Ministry posted the same readout the same day.
رئيس مجلس الوزراء السيد علي فالح الزيدي يستقبل وزير الخارجية الاردني في واشنطن
••••••••••استقبل رئيس مجلس الوزراء السيد علي فالح الزيدي، اليوم الاربعاء، بمقر اقامته في واشنطن، وزير الخارجية الاردني السيد ايمن الصفدي، وذلك على هامش زيارته الرسمية الى الولايات المتحدة… pic.twitter.com/FTttSCGxWN
— وزارة النفط العراقية (@mediaofficeoil) July 15, 2026
Iraqi Foreign Minister Fuad Hussein later said Baghdad and Amman were moving ahead with the line, and he was in Amman on August 5 still talking about installing it, including with Egypt, whose Sinai coast sits on the Gulf of Aqaba. None of those sessions produced a construction start on Jordanian soil.
Haditha Turns Three Export Maps Into One Pipe
The project Washington named is not one pipe to Aqaba. It is a domestic trunk from Basra to Haditha in Anbar, with later branches that could point west, north, or southwest. The Prime Minister’s Office, while Mohammed Shia al-Sudani still held the job in April, put the Basra-Haditha stretch at 685 kilometers, 2.25 million barrels a day on 56-inch pipe, and about $5 billion, with $1.5 billion allocated for 2026 through the China oil-for-projects framework.
Haditha is the junction. From there, planners describe a 1 million barrel-a-day leg to Aqaba, a Mediterranean outlet through Syria, and more crude toward Turkey’s Ceyhan terminal. Oil Minister Basim Khudair told a Qatari-American consortium in late August, a group that includes Chevron, UCC Holding, and TI Capital, to meet weekly on routes and economic models for that hub. Aqaba is on the list. It is the third name, not the first.
WHERE THE HADITHA TRUNK COULD POINT
| Route | Design capacity | 2026 status | Who is on it |
|---|---|---|---|
| Basra Gulf terminals via Hormuz | 3.3 million b/d before the war | 2.3 million b/d in August | Iraq’s default buyers in Asia |
| Basra to Haditha trunk | 2.25 million b/d | $1.5 billion allocated this year | Iraqi state firms, China framework |
| Haditha to Aqaba | 1 million b/d | Unbuilt; still in talks | Jordan |
| Haditha / Kirkuk to Baniyas | About 2 million b/d for the wider network; old line 300,000 b/d | Studies, US-Qatari talks, trucks already rolling | Syria and a Chevron-led group |
| Kirkuk to Ceyhan | 1.6 million b/d nameplate | Operating; about 200,000 b/d in early May | Turkey and the Kurdistan Region |
Viral tallies after the Washington meeting treated 2.25 million barrels a day as if that volume would dump into Aqaba. That number belongs to the Iraqi trunk. The Jordan spec is 1 million barrels a day, and only after Haditha exists.
21.4 Million Barrels Went Through Syria
The Strait of Hormuz has been effectively closed since late February 2026. Akiko Yoshioka, deputy director at the Institute of Energy Economics, Japan, wrote in June that Iraq’s oil exports fell to 330,000 barrels a day in April, roughly one-tenth of the pre-closure level. SOMO’s April sheet shows 9,884,130 barrels for the whole month and $1,087,082,000 in revenue, with 4,587,610 barrels from Basra, 4,957,456 barrels of Kirkuk crude through Ceyhan, and 339,064 barrels from the Kurdistan Region.
THE WARTIME SCORECARD
- April collapse: Total exports of 330,000 barrels a day, about one-tenth of the 3.3 million barrels a day southern Iraq sold before the war.
- August rebound: Southern loadings recovered to 2.3 million barrels a day after discounts and Iranian permission for Iraqi tankers.
- Syria trucks: About 50,000 barrels a day of Basra crude plus fuel oil have been hauled to Baniyas since April.
- Jordan’s share of fuel oil: 307,000 barrels through Jordan against 21.4 million barrels through Syria from March through August, per Oil Ministry spokesman Salim al-Rikabi.
Renad Mansour, deputy director of the Middle East programme at Chatham House, noted in September that southern exports reached 2.3 million barrels a day in August. The same paper put a new Iraq-Syria network at about $15 billion and about four years, with an opening capacity near 2 million barrels a day. Memoranda covering that Mediterranean revival were signed in Washington in mid-July, in the same city and the same week as the Aqaba photo.
Yoshioka’s short-term verdict on Aqaba was colder than any communiqué.
As a result, the Basra Aqaba pipeline remains no more than a plan. As a short-term measure, Iraq is merely considering renewing a trucking contract for around 15,000 b/d of Kirkuk crude to Jordan, which expired in December 2025.
Akiko Yoshioka, Deputy Director, JIME Center, Institute of Energy Economics, Japan, June 8, 2026
Jordan’s Tanker Trucks Have Been Parked Since December
The energy trade that already existed between the two countries did not get a wartime bump. It stopped. SOMO figures show Jordan lifted 2.748 million barrels of Iraqi crude in 2025. In the months when cargoes actually rolled, the rate sat near 300,000 barrels a month, about 10,000 barrels a day, covering about 7 percent of Jordan’s oil needs at a discount of $16 a barrel to monthly Brent after quality and trucking costs. In 2024 the lift was about 3.578 million barrels on more than 14,000 tanker trucks through Trebil-Karamah into the Zarqa refinery.
Shipments ended in December 2025. Al-Rikabi said in September the halt was commercial, a SOMO matter and a Jordanian matter, with no restart date. Baghdad had been pushing to cut tanker fees. Amman’s sea-borne crude and products imports rose about 50 percent in the first half of 2026, about 30,000 barrels a day year on year, once the cheap Kirkuk barrels disappeared.
WHAT JORDAN LOST WHILE THE PIPELINE WAS DISCUSSED
- The trucks: Kirkuk crude to Zarqa halted at the end of December 2025 and had not resumed by late September.
- The discount: About $16 a barrel off monthly Brent, after quality and road costs, disappeared with the cargoes.
- The volume: About 10,000 barrels a day, roughly 7 percent of national demand, in a normal delivery month.
- The fuel-oil detour: Iraq used Jordan as a minor transit path for 307,000 barrels of fuel oil, then sent seventy times that volume through Syria.
A pipeline that is still a drawing does not replace a truck contract that already paid. Jordan’s gain on paper is transit fees and a spur into Zarqa. Its loss on the ground is the only Iraqi barrels it actually received.
The Grid Link That Dropped Rutba
The electricity file is further along than the oil line, and it still shows the same imbalance. Phase one, a 132-kilovolt tie from Jordan’s Risha plant to Rutba in Anbar, began operating in the first quarter of 2024. Electricity Ministry spokesman Ahmed Turki Jiyad still listed 50 megawatts on the Jordanian line in late September, alongside 600 megawatts from Turkey.
Rutba itself was then tied back into Iraq’s grid through Al-Qaim, and the Jordan feed to that district was paused. Officials talk about finishing a 400-kilovolt stage, adding about 200 megawatts, and later reaching 500 megawatts. The town that used Jordanian power no longer needs it for the same reason Haditha matters for oil: Iraq is stitching its own west back together first.
Why the Red Sea Exit Keeps Finishing Last
Kpler crude analyst Victoria Grabenwoger put the Aqaba build at more than 1,600 kilometres of new pipeline, about $10 billion, and several years, with a sabotage risk in Anbar. The 2013 design that Iraq and Jordan signed was 1,680 kilometers, $18 billion, 1 million barrels a day of oil and 258 million cubic feet a day of gas, after a 2012 feasibility study by SNC-Lavalin. The gas twin was later dropped to cut cost. The crude line still has to cross the same desert.
Politics inside Iraq never left. Some lawmakers argued that Aqaba sits close enough to Israel that Iraqi crude could leak into Israeli markets, and that objection has shadowed every revival. Militias that can already hit the Khor Mor gas field, and that were blamed for strikes from Iraqi soil on Saudi Arabia’s East-West line, can hit a new desert pipe the same way. One successful drone strike on a pump station would idle the whole bet.
The commercial map works against Amman too. Most Iraqi barrels go to China and India. Those voyages are shorter from the Gulf than from the Red Sea or the Mediterranean, so a finished Aqaba line diversifies risk; it does not replace Hormuz for the buyers who set Iraq’s price.
WHERE EXPERTS DISAGREE
- The hurry: A March Atlantic Council note argued the line could no longer wait, and that a 2.25 million barrel-a-day first phase would have covered most of what Hormuz took offline.
- The build risk: Kpler treats Aqaba as politically easier than reopening the old Iraqi line through Saudi Arabia, yet still years away, expensive, and exposed in Anbar.
- The near term: Yoshioka’s June paper said no land route can replace Hormuz in this crisis, and that Aqaba remains a plan while trucks and Ceyhan do the work.
Even the Syria option, which has US political oxygen, is a long bet. Kpler called near-term Baniyas revival commercially weak, given sanctions, broken ground in eastern Syria, and insurance. That has not stopped trucks from using the port, or stopped Washington from backing studies. It has stopped anyone from laying the Jordan leg.
Communiqués Outlasted Every Construction Season
The July revival of the Aqaba pipeline file was not the first. Each round followed a Gulf scare, a signing ceremony, and a stall.
THE AQABA FILE SINCE THE IRAN-IRAQ WAR
- 1983: Baghdad studies a Basra-to-Aqaba line after tankers come under fire in the Gulf, then shelves it.
- 2012 to 2013: SNC-Lavalin studies the route; Iraq and Jordan sign a framework for 1,680 kilometers at $18 billion.
- 2014: Islamic State seizes Anbar and cuts the corridor; bidders walk.
- 2017: The paired gas line is cancelled to save money; the crude project is cut back.
- 2019 to 2022: Cabinet frameworks and bid deadlines slip through Covid, then return, then stall again under militia pressure.
- April to July 2026: Hormuz closes, Iraq funds Basra-Haditha, and Washington hosts another Aqaba talk beside a Syria pipeline signing.
Fuad Hussein was still describing installation in Amman in August. Al-Rikabi was still describing a commercial freeze on Jordan-bound crude in September. Southern Iraq, with Iranian permission and a discount, was already loading 2.3 million barrels a day through the same strait the pipeline is meant to escape. The invitation from King Abdullah II remains open. The pipe into Aqaba does not.
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