Iraq oil exports rise in August amid discounts and Iran approval
Key Takeaways
- •Iraq’s August oil exports increased to about 2.34 million barrels per day from roughly 1.35 million barrels per day in July.
- •Preliminary shiptracking data from Vortexa and Kpler also showed a month-on-month increase, though both estimates remained below February levels.
- •Iran reportedly allowed a number of Iraqi oil tankers to pass through the Strait of Hormuz.
- •SOMO offered August-loading Basrah cargoes at discounts of $25 to $30 a barrel on a free-on-board basis.
- •The higher exports are helping restore supplies of heavy, high-sulphur crude to importers in China and India.
Iraq oil exports rise in August amid discounts and Iran approval
in Freight News 03/09/2026
Iraq increased its oil exports in August, and September shipments are also expected to rise, as steep discounts and Iranian permission for its tankers to pass through the Strait of Hormuz drew buyers, according to a Reuters report.
The rebound in exports for OPEC’s second-largest producer, which had been sharply reduced by the near-closure of the Strait of Hormuz after the Iran war began on February 28, is helping restore supplies of heavy, high-sulphur crude to major importers China and India. For refiners that depend on those barrels, the return of Iraqi cargoes is notable because disruptions in the waterway can quickly affect regional crude flows and the availability of sour grades in Asia.
Iraq’s oil exports rose to about 2.34 million barrels per day in August from roughly 1.35 million bpd in July, the report said.
Preliminary data from shiptracking firms Vortexa and Kpler put Iraqi crude exports in August at 2.3 million and 2.17 million bpd, respectively, up from July but still below February’s pre-war levels of 3.7 million and 3.362 million bpd.
Tehran granted permission for a number of Iraqi oil tankers to pass through the Strait of Hormuz, Iran’s state news agency IRNA reported last week.
Iraqi state oil marketer SOMO offered August-loading cargoes from the Basrah terminal at discounts of $25 to $30 a barrel on a free-on-board basis, a pricing move that helped support sales after the earlier disruption. The article also points to September as the next checkpoint, with shipment data likely to show whether the higher August flow is sustained.
Source: Investing.com
