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Iraqi oil loadings briefly suspended after drone hits tanker at Basra, sources say

Cyprus Mail · 2026-07-16

AI SUMMARY

• What happened: Iraq temporarily suspended oil loadings at its Basra terminal after a drone struck an oil tanker, but operations resumed shortly after as no damage or fire occurred. • Why it matters: The incident highlights ongoing geopolitical tensions in the region that have impacted Iraq's oil exports, particularly amid conflicts affecting the Strait of Hormuz. • What to watch next: Analysts will monitor the investigation into the drone incident and its implications for Iraq's oil sector and export strategies, especially in light of alternative routes being explored.

**Iraqi Oil Loadings Briefly Halted Following Drone Incident at Basra Terminal**

Iraq's oil loading operations were temporarily suspended on Thursday after a drone struck an oil tanker at the Basra terminal. According to four sources from Iraqi oil and security sectors, the drone incident did not result in any damage or fire, and the identity of the drone's operator remains unclear.

Ali Nazar, the head of Iraq’s state oil marketer, SOMO, clarified that the drone strike was not aimed at the oil terminals or vessels in the area. "It is not targeting Basra Oil Terminal. Its target is another place," he stated. Following the incident, oil loading resumed at normal rates, contingent upon vessel availability.

An oil ministry spokesperson confirmed that loading operations continued at Iraq's southern ports and indicated that an investigation into the drone incident is underway. As a precaution, the affected oil tanker was towed outside the port, along with another tanker that had been anchored nearby.

This incident follows a similar occurrence on Wednesday when a drone reportedly fell in Iraq’s Faw port without causing any damage. The state news agency reported that operations at the port were not disrupted by this event.

The backdrop of this incident is the ongoing geopolitical tensions in the region, particularly related to the Iran war, which has significantly affected oil exports from Iraq's southern terminals. The Strait of Hormuz, a critical passage for oil shipments, has faced disruptions, leading to a notable decline in Iraq's oil exports. In April, Iraq, which is the second-largest producer in OPEC, exported approximately 10 million barrels of oil via the Strait, a sharp decrease from around 93 million barrels per month prior to the conflict.

In June, total oil exports from Iraq were reported at approximately 24.5 million barrels, according to two oil officials. Iraq has been exploring alternative export routes, including the northern Kirkuk-Ceyhan pipeline through Turkey and potential shipments through Syria, as it seeks to navigate its complex relationships with neighboring Iran and the United States amid escalating military tensions.

The situation remains fluid as the Iraqi government works to balance its foreign relations while ensuring the stability of its vital oil sector. The ongoing investigation into the drone incident and the broader implications of regional conflicts on oil exports will be closely monitored by industry analysts and stakeholders.

Source: Cyprus Mail
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