Iraq and Oman have taken a major step to expand their energy cooperation. The State Oil Marketing Organization (SOMO) has signed two agreements with OQ, Oman’s leading energy company, and its subsidiary, Oman Tank Terminal Company (OTTCO). These agreements focus on the storage and global marketing of Iraqi crude oil.
The first agreement establishes a strategic partnership to build integrated storage facilities in the Special Economic Zone at Duqm (SEZD). SEZD is the largest special economic zone in the Middle East and North Africa. The project includes constructing terminals for storing, loading, and unloading crude oil. Initially, the facilities will hold 10 million barrels, but the capacity may increase depending on investment returns.
Meanwhile, the second agreement allows OQ to market Iraqi crude oil internationally. Both SOMO and OQ will combine their commercial knowledge to maximize the value of Iraq’s oil on global markets. This step is expected to strengthen business ties and encourage knowledge exchange between the two countries.
The agreements mark a crucial phase in Iraq-Oman economic relations. They open doors to joint growth by introducing modern oil storage infrastructure and expanding the reach of Iraqi crude oil trade. The collaboration also enhances both countries’ global energy roles.
In addition, the agreements support long-term economic development. They allow information sharing between SOMO and OQ, which can boost bilateral investments. They will also generate new jobs across public and private sectors.
Experts note that this partnership will broaden Iraq and Oman’s international presence. By working together, the two countries aim to become more reliable partners in the energy industry. They plan to leverage their combined experience to compete effectively on the world stage.
The initiative reflects a shared commitment to expanding opportunities in the energy market. It demonstrates both nations’ determination to enhance trade, create employment, and strengthen their positions in the global economy.
With Iraqi crude oil now backed by strategic storage and global marketing agreements, Iraq and Oman are poised for a more influential role in the energy sector.
