Iraq targets refined oil exports by 2030, Sudani says

BAGHDAD — Prime Minister Mohammed Shia al-Sudani said Iraq plans to export 40% of its oil output as high-value derivatives by 2030, outlining an expansion of refining, gas capture and power generation as the government seeks to shift from crude exports to value-added energy products.

Al-Sudani made the remarks Wednesday while inaugurating the Iraq Energy Conference 2026 in Baghdad, telling participants the energy sector “represents the backbone and driving force of all other sectors.” He said the government has focused on “develop[ing] the energy sector by investing all industrial, investment, and development capabilities,” adding that strengthening the sector is “the strong foundation upon which all other development objectives are built.”

Highlighting the export shift, al-Sudani said, “By 2030, Iraq will export 40 percent of its oil exports in the form of high-value derivatives.” He said refinery capacity has been expanded and new units added “in cooperation with the private sector, to close the file of fuel imports.”

On gas and power, the prime minister said Iraq has achieved “full utilization of 74 percent of gas resources,” increased proven reserves of free natural gas to “nearly 132 million standard cubic feet,” and is investing associated gas, with flaring set to “completely stop by 2028.” He said electricity output has reached “nearly 29,000 megawatts,” supported by upgrades that completed “a highly efficient national grid” and reduced losses.

Al-Sudani said procedures are complete to establish new power stations totaling “57,500 megawatts,” including “34 stations with General Electric and Siemens Energy,” and that the government has launched renewable projects to produce “7,500 megawatts of solar power through 15 projects across several governorates.”

Full Statement:

Prime Minister Mohammed S. Al-Sudani Affirms Iraq’s Commitment to Developing the Energy Sector through Investing Industrial, Investment, and Development Capabilities

Prime Minister Mohammed S. Al-Sudani inaugurated, today, Wednesday, the Iraq Energy Conference 2026 in the capital, Baghdad, with distinguished participation from companies specialized in the energy sector.

In his speech, His Excellency welcomed the convening of the conference, which focuses on a vital sector that represents the backbone and driving force of all other sectors. He commended the efforts of the organizers and emphasized the importance of achieving outcomes that benefit all parties.

Prime Minister Al-Sudani noted that Iraq is one of the leading countries in the energy sector, and that its philosophy in managing this important field is based on achieving integration among countries to help enhance security and stability in the region and across the world.

The following are the key points from the Prime Minister’s speech:

🔷 Since assuming our executive responsibilities, we have been keen to develop the energy sector by investing all industrial, investment, and development capabilities.

🔷 Developing and advancing the energy sector constitutes the strong foundation upon which all other development objectives are built.

🔷 By 2030, Iraq will export 40 percent of its oil exports in the form of high-value derivatives.

🔷 We have expanded refinery capacities and added new units, in cooperation with the private sector, to close the file of fuel imports.

🔷 We have worked to diversify Iraq’s economy and maximize resource revenues, achieving full utilization of 74 percent of gas resources.

🔷 Iraq’s proven reserves of free natural gas have increased to nearly 132 million standard cubic feet.

🔷 We are working to invest associated gas, and environmentally harmful gas flaring operations will completely stop by 2028.

🔷 We have achieved the highest levels of electricity production, reaching nearly 29,000 megawatts.

🔷 We have completed a highly efficient national grid through upgrading the distribution and transmission sectors and reducing losses.

🔷 Our government has completed the procedures to establish new power stations with a capacity of 57,500 megawatts, including 34 stations with General Electric and Siemens Energy.

🔷 We have launched clean and renewable energy projects to produce 7,500 megawatts of solar power through 15 projects across several provinces.

🔷 We have moved toward strategic projects in water resource governance and achieving balance between the carbon economy and the green economy.

🔷 Our vision for enhancing energy and water security represents a key pillar in supporting the national economy and diversifying energy pathways in production and export.

🔷 Our government has actively worked to strengthen regional cooperation in the energy sector, and we reaffirm Iraq’s strategic role in this vital field.

🔷 We have developed ambitious plans to support digital transformation in the energy sector to reform and develop policies and ensure the sustainability of this sector.

🔷 The tensions witnessed in our region require all countries, organizations, and major global companies to contribute to reducing them and averting risks.

🔷 There will be no winners from the disruption of the energy market, we would all be losers and harmed.