At discounted prices, the UAE buys millions of barrels of Iraqi oil within two months.
At discounted prices, the UAE buys millions of barrels of Iraqi oil within two months.
2026-09-15
Shafaq News – Middle East
Reuters reported on Tuesday evening that Abu Dhabi National Oil Company (ADNOC) had purchased millions of barrels of crude oil at discounted prices from the Iraqi state oil company, citing three sources familiar with the matter.
Two Iraqi energy sources said that the UAE state-owned company, through its trading arm, was the largest importer of Iraqi crude oil in August and September, helping to boost Iraqi exports that had declined sharply in the early months of the war.
An Iraqi source explained that ADNOC agreed to purchase 32 million Iraqi barrels in August at discounts ranging between $24.90 and $27 per barrel, and another 40 million barrels in September, including 10 million barrels at a discount of $18 per barrel and 30 million barrels at a discount of $25.
The second Iraqi source also indicated that the Iraqi state oil marketing company SOMO allocated 32 million barrels to ADNOC in August, while the Emirati company received only 20 million barrels due to export restrictions and the inability of the Basra Oil Company to secure sufficient quantities of crude oil.
The source said that ADNOC has transported 14 million Iraqi barrels so far in September.
A third source added that ADNOC had purchased about 20 million barrels of crude oil from Iraq’s state-owned SOMO in tenders at a discount of between $25 and $27 per barrel for the September-October production period.
According to Reuters, other companies are also buying Iraqi crude oil, and SOMO has offered August loading shipments at significant discounts, attracting other buyers including major Chinese state-owned oil companies PetroChina, Zhenhua Oil and Total Energies.
Trade sources told the agency earlier that Vitol, Trafgurah, Mercuria and Cathay Petroleum are among the companies that will participate in this deal.
Meanwhile, the official Iranian news agency (IRNA) reported that Iran granted permission last month for a number of Iraqi oil tankers to pass through the Strait of Hormuz after repeated requests from Baghdad through various channels.
Iraq’s exports declined sharply in the early months of the war, partly due to its location in the northern Gulf and its lack of its own shipping fleet.
According to data from ship-tracking company Kpler, Iraq is exporting about 2 million barrels of oil per day this month, down from 2.354 million barrels per day in August, but higher than 1.374 million barrels per day in July.
UAE crude oil exports rose to 3.236 million barrels per day this month, compared to 2.886 million barrels per day in August and 2.871 million barrels per day in July, according to the company.
One of the three sources said that ADNOC plans to process most of the crude oil it buys from other Gulf producers at its Ruwais refinery and sell more of its crude oil on the international market.
shafaq.com
