Due to Washington’s refusal, Iraq suspends its gas import contract from Turkmenistan.
Due to Washington’s refusal, Iraq suspends its gas import contract from Turkmenistan.
2025-09-19 01:13
Shafaq News – Baghdad
The Iraqi government has decided to suspend a gas import contract with Turkmenistan due to US opposition to the contract, which includes a clause allowing Iran to receive a quarter of the gas supplied through its territory, Reuters reported Friday, citing Iraqi officials.
Turkmenistan was scheduled to export gas to Iraq via Iran, which lies between the two countries, under a gas swap agreement. Under this agreement, Iran would receive and supply the gas to Iraq. However, this would violate US sanctions on Tehran and require Washington’s approval. However, this approval never came, and the Trump administration has intensified its “maximum pressure” campaign against Tehran.
Reuters reported that Iraq’s attempt to alleviate its chronic electricity shortage by using gas from Turkmenistan via neighboring Iran failed under pressure from the United States, leaving Baghdad scrambling to find alternatives to maintain power supply.
The agency reviewed seven official documents revealing how Baghdad sought, for months, Washington’s approval to allow it to import approximately five billion cubic meters of Turkmen gas annually via Iran, facilitated by the state-owned National Iranian Gas Company, according to a draft swap contract.
A document showed that Iran would not receive any money, but would receive gas to meet its own needs, amounting to no more than 23% of the total daily volume coming from Turkmenistan. Baghdad also offered to allow a third-party international monitor to oversee the deal’s compliance with US sanctions and anti-money laundering regulations, according to the same document.
The agency quoted Adel Karim, the Iraqi prime minister’s advisor on electricity affairs, as saying: “Proceeding with the Turkmen deal could lead to sanctions being imposed on Iraqi banks and financial institutions, so the contract is currently on hold.”
The US Treasury declined to comment, but a US source familiar with the matter said the Trump administration would not agree to arrangements that would benefit Iran, despite working with Iraq on its energy needs. The Iranian government, the Oil Ministry, the National Iranian Gas Company, and the Turkmenistan Foreign Ministry did not respond to Reuters requests for comment.
shafaq.com
