The Iraqi oil industry and its representative, the State Oil Marketing Company (SOMO), are successfully overcoming the challenges related to the Strait of Hormuz, thanks to significant discounts on the price of crude oil and the use of a new method of energy delivery. This is the conviction of Iraqi energy expert Nabil al-Marsoumi.
“SOMO is successfully managing the crisis caused by the closure of the Strait of Hormuz, thanks to plans developed by the state-owned company to provide significant discounts to oil buyers and a new method of operating small-tonnage oil tankers,“ al-Marsoumi noted. This is confirmed, he added, by the fact that “by the beginning of September, the growth of Iraq's crude oil exports had increased to 2.34 million barrels per day“.
The expert explained that this figure “represents approximately 71% of Iraq's total oil exports before the closure of the Strait of Hormuz“. As Al-Marsoumi noted, “adapting to changing regional conditions, SOMO not only followed a flexible discount policy, but also adopted a new method of transporting crude oil, based on the use of small tankers to transport oil for subsequent resale outside the strait at favorable prices“.