Baghdad, March 21 (SANA) Iraq has declared a state of “force majeure” on oil fields operated by foreign companies, citing disruptions linked to the ongoing U.S.-Israel-Iran conflict.
Military operations in the region have blocked navigation through the Strait of Hormuz, halting most Iraqi crude exports, according to three energy officials cited by Reuters.
The Iraqi Oil Ministry said storage capacity has reached its limits, preventing tankers from loading crude, and ordered a halt to production in affected concession areas without triggering contractual compensation.
The ministry said the reduction would be reviewed regularly based on developments in the region and urged companies to enter urgent talks to agree on essential operations, costs and staffing under force majeure conditions.
Oil Minister Hayan Abdel-Ghani said output at the Basra Oil Company fell from 3.3 million barrels per day to 900,000 barrels after exports from the country’s ports stopped. He added that the remaining production is being directed to domestic refineries.
The measures come amid mounting pressure on global energy markets due to escalating geopolitical tensions in the Middle East, with several countries taking steps to maintain supply stability and limit price volatility.
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