The Iraqi Oil Tanker Company said it had transported 2 million barrels of Iraqi crude aboard a giant tanker beyond the Strait of Hormuz, describing the operation as the first of its kind in decades.
Greater flexibility in crude sales
The operation allows the crude to be transported through the strait instead of being delivered at the port of Basra, giving Iraq’s state oil marketing company SOMO greater flexibility in determining how and where the crude is sold.
Greater flexibility in sales and the ability to take advantage of better pricing opportunities
Ali Qais Abdul Jabbar, director general of the Iraqi Oil Tanker Company, said in a statement that the move aims to give SOMO “greater flexibility in sales and the ability to take advantage of better pricing opportunities.”
Plans to develop the tanker fleet
Abdul Jabbar added that the company is also “working to purchase and own specialized tankers for transporting crude oil in order to enhance its capabilities, develop its fleet and compete with similar maritime transport companies in the region.”
Crossing the Strait of Hormuz
Iraq had previously obtained permission from Iran for tankers carrying Iraqi oil to cross the Strait of Hormuz, which Iran effectively closed during its war with the United States.
