• 5 minutes USGS Announces Largest Continuous Oil Assessment in Texas and New Mexico
  • 10 minutes Venezuela continues to sink in misery
  • 13 minutes U.S. Senate Advances Resolution To End Military Support For Saudis In Yemen
  • 16 minutes IEA Sees Global Oil Supply Tightening More Quickly In 2019
  • 2 hours Paris Is Burning Over Climate Change Taxes -- Is America Next?
  • 1 hour Rage Without Proof: Maduro Accuses U.S. Official Of Plotting Venezuela Invasion
  • 1 hour $867 billion farm bill passed
  • 21 hours OPEC Cuts Deep to Save Cartel
  • 41 mins Has Global Peak Diesel Arrived?
  • 17 hours Sleeping Hydrocarbon Giant
  • 13 hours How High Can Oil Prices Rise? (Part 2 of my previous thread)
  • 22 hours And the War on LNG is Now On
  • 19 hours What will the future hold for nations dependent on high oil prices.
  • 19 hours Air-to-Fuels Energy and Cost Calculation
  • 19 hours Global Economy-Bad Days Are coming
  • 17 hours Could Tesla Buy GM?

IRAN-IRAQ: Pipeline to Syria Ups Ante in Proxy War with Qatar

Bottom Line: Iraq’s agreement to allow Iran to build a pipeline through its territory and on to Syria is in direct competition with Qatar’s similar designs for a Syria pipeline that would connect to Turkey. This pipeline is another proxy in the Syrian conflict theater and Iran’s response to its loss of ground here. It is also a sign of Iran’s growing foothold in Iraq. Qatar will respond in kind.

Analysis: This week the Iraqi Cabinet green lighted Iran’s $10 billion pipeline project, which will supply gas from the South Pars field (which is the largest in the world, and which, as mentioned above, it shares with Qatar) to Syria and beyond to other export markets. There is talk of extending the pipeline to Lebanon.

The first part of the pipeline—some 225 kilometers—through Iraq will reportedly be completed in June 2013. The pipeline will connect the southern Iranian port of Assolouyeh to Iraq and then to Syria—for now. It will have a 110 million cubic meter/day capacity. The plan is to give Iraq 20 million cubic meters/day of Iranian gas for its power plants, with 20-25 million cubic meters/day going to Syria.

In a direct slap in the face to Qatar’s plans, Iraqi authorities also said the pipeline could eventually be extended to Europe. This is where it gets quite interesting: the current sanctions regime of course would not allow this Iranian gas into the European market, but it certainly will be…

To read the full article

Please sign up and become a premium OilPrice.com member to gain access to read the full article.

RegisterLogin

Trending Discussions




Oilprice - The No. 1 Source for Oil & Energy News