March 3, 2026

In a massive though not completely unexpected development, Iraq has shut down 460,000 barrels per day of production at the West Qurna 2 field, Iraqi oil officials told Reuters. Officials warned the country will be forced to cut more than 3 million barrels per day…

Iraq has shut down 460,000 barrels per day of production at West Qurna 2 and cut 700,000 barrels per day at Rumaila as southern export terminals reach critical capacity amid tanker disruptions in the Strait of Hormuz. With Kurdistan halting crude exports through Turkey’s Ceyhan pipeline and regional conflict escalating production cuts by approximately 200,000 barrels per day, Iraq faces the prospect of more than 3 million barrels per day being halted if tanker access remains blocked, driving oil prices higher as domestic supply dwindles to just 50,000 barrels per day.

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