Iraq very much remains a central focus for the oil market, as the Kurdistan Regional Government pledged to increase crude exports eight fold, and fighting continues further south between the Iraq government’s forces and militant groups.
Kurdistan recently sold just over US$100mln of exported crude, and in the past 24 hours there have been reports that further export have now either been ship or are being prepared – with as many as four shipments are said to have been dispatched.
Exports equating to 200,000 to 250,000 barrels per day are being targeted for July, according to reports, and by aim is to have output in the order of 1mln barrels per day from the region by the end of next year.
Meanwhile, exports from the south of Iraq, where the bulk of the country’s production is based, remains unaffected by the fighting.
Crude prices eased again somewhat on Thursday, though remain within touching distance of recent highs.
In London trading, Brent crude futures were down around 40 cents per barrel at US$113.55, whilst West Texas Intermediary futures also edged lower to US$106.30.