An Iraqi economist predicts a significant rise in oil prices, and OPEC is moving towards increasing production.
An Iraqi economist predicts a significant rise in oil prices, and OPEC is moving towards increasing production.
2026-02-28 02:15
Shafaq News – Baghdad
Economic expert Mohammed Al-Hassani warned on Saturday of serious repercussions for global energy markets with the outbreak of the American-Israeli military attack on Iran, pointing to the possibility of oil prices exceeding the $80 per barrel mark, as a result of the expansion of the conflict in a region that is one of the most important oil production and export areas in the world.
Al-Hassani told Shafaq News Agency that “the Gulf region represents a vital center for global energy supplies, and any military escalation that may include oil facilities or maritime export routes will lead to an immediate rise in prices due to fears of supply shortages.”
He added that “Iraq will be among the countries most affected if the conflict expands,” noting that “the majority of its oil exports pass through the Gulf, and if Iran closes the Strait of Hormuz as a military response, this will lead to a major disruption of Iraqi exports.”
He pointed out that “the only alternative outlet currently available to Iraq is the Turkish Ceyhan pipeline, whose export capacity does not exceed 190,000 barrels per day, a figure that covers only a limited part of total Iraqi exports, which means that Baghdad may face a significant loss in its oil revenues, which form the backbone of the general budget.”
Al-Hassani stressed that “the continuation of tensions without containing them politically will keep oil prices under pressure from geopolitical risks, with the possibility of rapid price jumps if events develop on the ground.”
Meanwhile, an OPEC+ delegate said on Saturday that the group would discuss the possibility of further increasing production during a meeting of its key members on Sunday, following airstrikes on targets in Iran, according to Bloomberg News.
Reuters reported that it had not yet been able to verify the information in the report.
The Middle East and the Gulf region are witnessing an unprecedented military escalation following an attack by Israel and the United States on Iran, which quickly responded by bombing Israel and a number of cities in the region.
Reports indicate that the attacks targeted cities in Manama, Kuwait, Qatar, the UAE and Saudi Arabia, raising serious concerns about the confrontation widening and turning into an open regional conflict.
shafaq.com
